Foreign direct investment: lessons from panel data
2008
Blanchard, Pierre | Gaigne, Carl | Mathieu, Claude
Foreign direct investment (FDI) has spawned a significant amount of academic research and the literature continues to grow at an impressive rate. The empirical literature has expanded at a rapid pace in many different directions. However, regardless of the question studied, the nature of the problem itself generally requires using panel data estimation methods because flows (or stocks) of FDI between pairs of countries (or between country-industry pairs) are analyzed for one or several time periods. The purpose of this paper is to provide a selective survey of the empirical literature on the determinants of FDI based on panel data.
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