Relationship between Preferential Trade Agreements and Foreign Direct Investment: Evidence from a Panel of 147 Countries

被引:3
|
作者
Zahid, Hira [1 ]
Bashir, Malik Fahim [1 ,2 ]
Tahir, Muhammad [1 ]
机构
[1] COMSATS Univ Islamabad, Dept Management Sci, Abbottabad, Pakistan
[2] COMSATS Univ Islamabad, Dept Management Sci, Abbottabad Campus, Abbottabad 22060, Pakistan
来源
INTERNATIONAL TRADE JOURNAL | 2021年 / 35卷 / 06期
关键词
Foreign direct investment; preferential trade agreements; feasible generalized least squares; DETERMINANTS; TREATIES; FDI; IMPACT; BITS;
D O I
10.1080/08853908.2020.1771230
中图分类号
F [经济];
学科分类号
02 ;
摘要
This study examines the impact of preferential trade agreements (PTAs) on the inflows of foreign direct investment (FDI). Empirical results suggest that FDI gains of preferential trade are increasing with the market size of the preferential trading partners but not due to their economic and geographic closeness to the host country. It is also observed that the association between PTAs and inflows of FDI only exists for middle- and high-income countries, whereas this relationship disappeared for low-income countries. This study recommends that countries should offer various trade related benefits to overseas investors in order to attract higher inflows of capital.
引用
收藏
页码:523 / 539
页数:17
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