Direct Investment Flows

Carmela Martín
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Carmela Martín: Jean Monnet Professor of European Integration, Universidad Complutense de Madrid

Chapter 9 in The Spanish Economy in the New Europe, 2000, pp 173-190 from Palgrave Macmillan

Abstract: Abstract International (foreign) direct investment can be broadly defined as the long-term (inward) capital flows used for exercising control of a business activity in a country other than that from which the investment activity originates.1 These international flows of capital are obviously very closely linked to the emergence and development of multinational firms. And, in a way, they are the product of the supranational geographical diversification of firms, either through the creation of new subsidiaries or through holdings in other already existing companies in the host country.

Keywords: Foreign Direct Investment; Host Country; Direct Investment; Foreign Capital; Location Advantage (search for similar items in EconPapers)
Date: 2000
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DOI: 10.1057/9780230597105_10

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