The Human Capital Dimension to Foreign Direct Investment: Training, Adverse Selection and Firm Location

Theo Eicher and Pantelis Kalaitzidakis

Working Papers from University of Washington, Department of Economics

Abstract: While the theoretical literature on Foreign Direct Investment (FDI) focuses largely on movements in capital and firm specific technology, recent empirical evidence emphasizes primarily the local human capital necessary to absorb FDI technology. We examine how human capital affects FDI and add a new dimension to the trade and FDI literature : informational asymmetries.

Keywords: FOREIGN INVESTMENT; HUMAN CAPITAL; FORMATION; CAPITAL MOVEMENTS; TECHNOLOGY (search for similar items in EconPapers)
JEL-codes: D82 F21 J24 O32 (search for similar items in EconPapers)
Pages: 31 pages
Date: 1997
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Citations: View citations in EconPapers (10)

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Working Paper: The Human Capital Dimension to Foreign Direct Investment: Training, Adverse Selection and Firm Location (1997)
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Persistent link: https://EconPapers.repec.org/RePEc:udb:wpaper:97-03

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