Economic Enclaves or Bridges to the Global Economy? Foreign and Diaspora Investments in Developing Countries

Vito Amendolagine and Nicola Coniglio

No 2014/10, RSCAS Working Papers from European University Institute

Abstract: This paper examines the main determinants of linkages between foreign and domestic firms in developing countries. Based on existing evidence, we highlight the relevance of linkages generated by MNEs in developing countries and then we discuss the factors which boost or hamper the interactions between foreign and domestic firms and draw some policy implications. A particular attention is given to diaspora investments – i.e. investments carried out by members of the diaspora or return migrants – that represent a potentially powerful engine of growth and structural change in poor countries.

Keywords: Foreign Direct Investment; local sourcing; diaspora; developing countries (search for similar items in EconPapers)
Date: 2014-01
New Economics Papers: this item is included in nep-int and nep-mig
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