Arbeitspapier
Exchange rates and outward foreign direct investment: US FDI in emerging economies
The paper investigates the impact of exchange rates on US foreign direct investment (FDI) flows to a sample of 16 emerging market countries using annual panel data for the period 1990-2002. Three separate exchange rate effects are considered: the value of the local currency (a cheaper currency attracts FDI); expected changes in the exchange rate (expected devaluation implies FDI is postponed); and exchange rate volatility (discourages FDI). The results reveal a negative relationship between FDI and more expensive local currency, the expectation of local currency depreciation, and volatile exchange rates. Stable exchange rate management can be important in attracting FDI.
- ISBN
-
|a978-92-9230-158-3
- Language
-
Englisch
- Bibliographic citation
-
Series: WIDER Research Paper ; No. 2008/102
- Classification
-
Wirtschaft
Investment; Capital; Intangible Capital; Capacity
Foreign Exchange
- Subject
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exchange rate
FDI
foreign exchange
Direktinvestition
Amerikanisch
Wechselkurs
USA
Schwellenländer
- Event
-
Geistige Schöpfung
- (who)
-
Udomkerdmongkol, Manop
Morrissey, Oliver
Görg, Holger
- Event
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Veröffentlichung
- (who)
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The United Nations University World Institute for Development Economics Research (UNU-WIDER)
- (where)
-
Helsinki
- (when)
-
2008
- Handle
- Last update
-
10.03.2025, 11:43 AM CET
Data provider
This object is provided by:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
Object type
- Arbeitspapier
Associated
- Udomkerdmongkol, Manop
- Morrissey, Oliver
- Görg, Holger
- The United Nations University World Institute for Development Economics Research (UNU-WIDER)
Time of origin
- 2008
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