Evidence on the Determinants of Foreign Direct Investment. The Case of Three European Regions

Lionel Artige and Rosella Nicolini ()

CREPP Working Papers from Centre de Recherche en Economie Publique et de la Population (CREPP) (Research Center on Public and Population Economics) HEC-Management School, University of Liège

Abstract: This study aims at analyzing the determinants of foreign direct investment inflows for a group of European regions. The originality of this approach lies in the use of disaggregated regional data. First, we develop a qualitative description of our database and discuss the importance of the macroeconomic determinants in attracting FDI. Then, we provide an econometric exercise to identify the potential determinants of FDI inflows. In spite of choosing regions presenting economic similarities, we show that regional FDI inflows rely on a combination of factors that differs from one region to another.

Keywords: Foreign Direct Investment; Productivity; Regions. (search for similar items in EconPapers)
JEL-codes: F20 O18 R10 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-eec
Date: 2006
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Working Paper: Evidence on the Determinants of Foreign Direct Investment: The Case of Three European Regions (2005)
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