Heterogeneous effects of nontariff measures on cross‐border investments: Bilateral firm‐level analysis

Amat Adarov and Mahdi Ghodsi

Review of International Economics, 2023, vol. 31, issue 1, 158-179

Abstract: We analyze the heterogeneous effects of technical regulations and safety standards embodied in nontariff measures on foreign direct investment using global firm‐level panel data of bilateral cross‐border ownership relationships over the period 2008–2018. We develop a novel measure of time‐varying bilateral ad valorem equivalents of sectoral nontariff measures, which reveals that technical barriers to trade (TBTs) played a much greater role as a trade‐inhibiting factor in comparison with import tariffs and sanitary and phytosanitary (SPS) measures over the period 1996–2018. Estimations using the Poisson pseudo‐maximum likelihood framework reveal the importance of nontariff measures as a driver of foreign direct investment.

Date: 2023
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://doi.org/10.1111/roie.12621

Related works:
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: https://EconPapers.repec.org/RePEc:bla:reviec:v:31:y:2023:i:1:p:158-179

Ordering information: This journal article can be ordered from
http://www.blackwell ... bs.asp?ref=0965-7576

Access Statistics for this article

Review of International Economics is currently edited by E. Kwan Choi

More articles in Review of International Economics from Wiley Blackwell
Bibliographic data for series maintained by Wiley Content Delivery ().