The Global FDI Network : Searching for Ultimate Investors /

This paper addresses three types of geographical decoupling in foreign direct investment (FDI), id est, challenges when using traditional FDI data as a proxy for real economic integration between economies: (i) large bilateral asymmetries between inward and outward FDI, (ii) the role of special purp...

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Bibliographic Details
Main Author: Damgaard, Jannick
Other Authors: Elkjaer, Thomas
Format: Journal
Language:English
Published: Washington, D.C. : International Monetary Fund, 2017.
Series:IMF Working Papers; Working Paper ; No. 2017/258
Subjects:
Online Access:Full text available on IMF
Description
Summary:This paper addresses three types of geographical decoupling in foreign direct investment (FDI), id est, challenges when using traditional FDI data as a proxy for real economic integration between economies: (i) large bilateral asymmetries between inward and outward FDI, (ii) the role of special purpose entities (SPEs), and (iii) the effect of moving from immediate counterpart to ultimate investing economy (UIE). A unique global FDI network is estimated, where SPEs are removed and FDI positions are broken down by the UIE. Total inward FDI in the new network is reduced by one-third, and financial centers are less dominant.
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Physical Description:1 online resource (25 pages)
Format:Mode of access: Internet
ISSN:1018-5941
Access:Electronic access restricted to authorized BRAC University faculty, staff and students