Using trade policy to influence firm location

Nathaniel Cook and John Douglas Wilson

Economics Letters, 2013, vol. 119, issue 1, 45-47

Abstract: A multinational firm’s location decision depends not only on the host country’s tax and trade policies. Another country can use trade policy to influence the firm’s location decision. When countries form a free trade agreement (FTA), FDI destruction is possible.

Keywords: Tariffs; Multinational firms; Free trade agreements; Foreign direct investment (search for similar items in EconPapers)
JEL-codes: F13 F21 F23 H87 (search for similar items in EconPapers)
Date: 2013
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Citations: View citations in EconPapers (5)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:ecolet:v:119:y:2013:i:1:p:45-47

DOI: 10.1016/j.econlet.2013.01.010

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