Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/46412
Authors: 
Darby, Julia
Desbordes, Rodolphe
Wooton, Ian
Year of Publication: 
2010
Series/Report no.: 
CESifo working paper: Trade Policy 3290
Abstract: 
This paper investigates whether the higher prevalence of South multinational enterprises (MNEs) in risky developing countries may be explained by the experience that they have acquired of poor institutional quality at home. We confirm the intuition provided by our analytical model by empirically showing that the positive impact of good public governance on foreign direct investment (FDI) in a given host country is moderated significantly, and even in some cases eliminated, when MNEs have been faced with poor institutional quality at home.
Subjects: 
South-South FDI
public governance
institutions
JEL: 
F22
Document Type: 
Working Paper

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