Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/194736 
Authors: 
Year of Publication: 
2017
Citation: 
[Journal:] Cogent Economics & Finance [ISSN:] 2332-2039 [Volume:] 5 [Issue:] 1 [Publisher:] Taylor & Francis [Place:] Abingdon [Year:] 2017 [Pages:] 1-14
Publisher: 
Taylor & Francis, Abingdon
Abstract: 
This study examines the effect of relative economic distance (RED) between countries on bilateral foreign trade and foreign direct investment (FDI), using Vietnam as a case study. The difference in per-capita GDP is used as proxy for the RED between Vietnam and her partner countries. Modified gravity models are estimated using the procedure of panel-corrected standard errors (PCSE). The results indicate that there is a feedback and significantly positive relationship between Vietnam's trade and FDI inflows. The economic distance between Vietnam and her partner countries has a significantly positive influence on the country's bilateral trade and FDI inflows.
Subjects: 
economic distance
trade
foreign direct investment
panel-corrected standard errors
Vietnam
JEL: 
C23
F1
F21
Persistent Identifier of the first edition: 
Creative Commons License: 
cc-by Logo
Document Type: 
Article

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