Arbeitspapier

The Demographics of Expropriation Risk

It is often argued that capital should flow from aging industrialized economies to countries with fast-growing populations. However, institutional failures and the risk of expropriation substantially reduce developing economies' attractiveness for foreign investors. We analyze the influence of a country's demographic structure on international investment, using a political-economy model in which population growth potentially affects the risk of expropriation. We first explore how redistributive expropriation affects the welfare of different age groups and derive the government's incentive to expropriate. We then analyze how the relative size of different generations influences the feasible volume of foreign investment.

Sprache
Englisch

Erschienen in
Series: Working Paper ; No. 09.02

Klassifikation
Wirtschaft
International Investment; Long-term Capital Movements
Positive Analysis of Policy Formulation and Implementation
Demographic Economics: General
Thema
International Investment
Political Economy
Demographics
Auslandsinvestition
Bevölkerungsstruktur
Enteignung
Investitionsrisiko
Wirtschaftswissenschaft
Theorie

Ereignis
Geistige Schöpfung
(wer)
Harms, Philipp
an de Meulen, Philipp
Ereignis
Veröffentlichung
(wer)
Swiss National Bank, Study Center Gerzensee
(wo)
Gerzensee
(wann)
2009

Handle
Letzte Aktualisierung
10.03.2025, 11:43 MEZ

Datenpartner

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Objekttyp

  • Arbeitspapier

Beteiligte

  • Harms, Philipp
  • an de Meulen, Philipp
  • Swiss National Bank, Study Center Gerzensee

Entstanden

  • 2009

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