How Global is Foreign Direct Investment and What Policymakers Can Do About It? Stylized Facts, Knowledge Gaps, and Selected Policy Instruments

Robert M. Solow and Jean-Philippe Touffut, The Shape of the Division of Labour, Chapter 2: 32-55

We identify a few policy instruments that appear to be effective in promoting FDI flows to developing countries – in contrast to the findings of earlier studies that are based on small and unrepresentative samples. At the same time, there are some indications that it may be harder for poorer countries to improve their attractiveness to FDI.


Peter Nunnenkamp