Template-Type: ReDIF-Paper 1.0
Author-Name: Rodolphe Desbordes
Author-Name-First: Rodolphe
Author-Name-Last: Desbordes
Author-Email: rodolphe.desbordes@strath.ac.uk
Author-Workplace-Name: Department of Economics, University of Strathclyde
Author-Name: Vincenzo  Verardi
Author-Name-First: Vincenzo 
Author-Name-Last: Verardi
Author-Email: vverardi@fundp.ac.be
Author-Workplace-Name: University of Namur (CRED) and Université Libre de Bruxelles (ECARES and CKE).
Title: The Positive Causal Impact of Foreign Direct Investment on Productivity: A Not So Typical Relationship
Abstract: Previous research has argued that foreign direct investment (FDI) exerts a positive and causal impact on the productivity of the recipient countries. However, we find that there is little macroeconomic evidence that FDI fosters productivity growth in recipient countries, including in those with high absorptive capacity, once we use an instrumental variables (IV) estimator robust to outliers.
Length: 46 pages
Creation-Date: 2011-03
Revision-Date: 
Publication-Status: 
File-URL: http://www.strath.ac.uk/media/1newwebsite/departmentsubject/economics/research/researchdiscussionpapers/2011/11-06_Final.pdf
File-Format: Application/pdf
Number: 1106
Classification-JEL: C2, F2, O3, O4.
Keywords: Foreign Direct Investment, Productivity, Robust Regression.
Handle: RePEc:str:wpaper:1106