Arbeitspapier
Foreign direct investment and exchange rate regimes
The paper uses a comprehensive data set with bilateral direct investment flows and establishes the influence of the de-facto exchange rate regime for FDI flows. We find a strong and significant effect from fixed rates on bilateral FDI flows in developed economies, but no significant effect for developing countries. There is thus no general and uniform impact of stable exchange rates on FDI. We provide several possible explanations for this difference.
- Language
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Englisch
- Bibliographic citation
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Series: HWWI Research Paper ; No. 2-17
- Classification
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Wirtschaft
International Investment; Long-term Capital Movements
Multinational Firms; International Business
Development Planning and Policy: Trade Policy; Factor Movement; Foreign Exchange Policy
- Subject
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Foreign Direct Investment
Multinational Enterprises
Exchanges Rate Regimes
- Event
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Geistige Schöpfung
- (who)
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Busse, Matthias
Hefeker, Carsten
Nelgen, Signe
- Event
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Veröffentlichung
- (who)
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Hamburgisches WeltWirtschaftsInstitut (HWWI)
- (where)
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Hamburg
- (when)
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2010
- Handle
- Last update
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10.03.2025, 11:44 AM CET
Data provider
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Object type
- Arbeitspapier
Associated
- Busse, Matthias
- Hefeker, Carsten
- Nelgen, Signe
- Hamburgisches WeltWirtschaftsInstitut (HWWI)
Time of origin
- 2010