Revisiting the Relationship between Govenance and Foreign Direct Investment

Pierre-Guillaume Méon and Khalid Sekkat

No 07-13.RS, Working Papers DULBEA from Université libre de Bruxelles, Department of Applied Economics (DULBEA)

Abstract: Using a sample of 96 countries over the nineties, this paper examines the extent to which different dimensions of governance affect FDI inflows. It considers six aspects of governance. The results of a least-squares estimation suggest a positive relationship between institutional quality and FDI. However, when the issue of the endogeneity of governance is tackled thanks to 2SLS regressions, the relationship appears much weaker.

Keywords: Institutions; governance; foreign direct investment. (search for similar items in EconPapers)
JEL-codes: C33 F21 F41 O17 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-dev
Date: 2007-10
View list of references View citations in EconPapers

Downloads: (external link)
http://dev.ulb.ac.be/dulbea/documents/1143.pdf (application/pdf)

Related works:
Journal Article: Revisiting the relationship between governance and foreign direct investment (2007)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: http://EconPapers.repec.org/RePEc:dul:wpaper:07-13rs

Access Statistics for this paper

More papers in Working Papers DULBEA from Université libre de Bruxelles, Department of Applied Economics (DULBEA)
Contact information at EDIRC.
Series data maintained by Pierre-Guillaume Méon ().