Foreign direct investment in developing countries: productivity growth, dual economies, and location determinants
Altmetrics
Abstract
This study revisits the role of Foreign Direct Investment (FDI) in developing countries along two dimensions. First, we empirically analyze the impact of FDI on productivity growth in 30 developing countries for the period 1970 to 2010. We, however, depart from previous studies on the FDI-growth nexus because our approach allows us to focus on the contribution of FDI to aggregate productivity in a developing economy, while considering the reallocation of labor characterized by sizable differentials in the productivity of labor between sectors. When structural change is accounted for, something ...
(For more, see "View full record.")