Skill Upgrading in Developing Countries: Has Inward Foreign Direct Investment Played a Role?

Slaughter, Matthew J.

doi:10.1057/9780230523968_6

Cited by 33 publications

(38 citation statements)

References 32 publications

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“…This variable can be considered a measure of democracy in a country which, in agreement with a strand of literature on the FDI determinants, shows positive effect (Rodrik, 1996 andBusse,2004). ters 9 without removing time invariant regressors 10 . Lagged emigration rates clearly show a significant and positive coefficient as expected.…”

Section: Panel Estimation Resultsmentioning

confidence: 99%

The Migration FDI Puzzle: Complements or Substitutes?

2006

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This paper analyses the link between FDI inflows and migration waves from developing countries. In addition, it investigates mechanisms through which this link works. Empirical results indicate that FDI can be seen as substitutes of migration through direct and indirect labour demand. However, the paper demonstrates that a positive relationship (complementarity effect) between FDI and migration flows takes place. In longitudinal analysis results indicate that the complementarity effect prevails. In cross section analysis, estimating a two equation models, we find that a substitutability effect is at work through the impact of FDI on human capital accumulation but the direct complementarity effect also prevails.

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Section: Panel Estimation Resultsmentioning

confidence: 99%

The Migration FDI Puzzle: Complements or Substitutes?

2006

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“…Consequently, I examine the effect of countries' levels of exposure to international trade on inter-agency cooperation in NEST. Relatedly, I control for the role of international organizations as an alternative source of resources (namely, financial aid and technical skills), following diverse research on international development and aid (Pavnick 2000;Slaughter 2002;Vreeland 2003;Bauer 2006;Chwieroth 2007;Hicks, et al 2008;Biermann and Siebenhüner 2009). Finally, I control for standard domestic drivers of transgovernmentalism, including regime type, size of the economy and population (Bach and Newman 2014).…”

Section: Alternative Explanationsmentioning

confidence: 99%

Transgovernmental Networks and Cooperation in the Global South

Alcañiz

2016

Rev. cienc. polít. (Santiago)

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Why do bureaucrats from developing countries cooperate internationally? I argue that international inter-agency cooperation in the Global South results from the need of expert bureaucrats to invest in skill formation when governments do not. When states cut funding, expert bureaucrats cooperate with foreign peers to upgrade their skillsets because career advancement is contingent on up-to-date expertise. To test my theory, I use cross-national co-sponsorship data of projects in nuclear energy, science and technology (NEST) for 69 countries . Results show that bureaucrats cooperate internationally when government spending decreases and that cooperation is more likely to occur among bureaucrats with higher initial skill levels and similar levels of professional development (i.e. homophily). These findings carry implications for the study of global governance in the developing world.

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“…The relation follows two main directions. On the one hand, MNCs enter only when the critical level of human capital is high in the host country (see Head and Ries 2002;Greenaway and Nelson 2001;Xu 2000;Borensztein et al 1998;Berman et al 1998;Benhabib and Spiegel 1994;Nelson and Phelps 1966, etc., for surveys) and on the other, MNCs influence human capital through spillovers (see Blomström and Kokko 2003;Slaughter 2002;Strobl 2001, 2003;Kokko et al 2001, etc., for related discussion). Zhang and Markusen (1999); Lucas (1990) and Dunning (1988) observed that cheap labour may not be sufficient for attracting FDI, quality of the labour force is also crucial.…”

Section: Human Capitalmentioning

confidence: 99%

The Determinants of Foreign Direct Investment: An Analytical Survey

Sinha

Sen

2016

International Trade and International Finance

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Investments undertaken by multinational corporations (MNCs) can be regional or global. In the recent years, there has been spectacular growth in the flow of global capital in developing economies accompanied by a significant increase in capital outflows from the Global South. Though outward investment by emerging economies is not a new phenomenon, the past couple of decades have witnessed a surge in the quantity and also qualitative transformation in the pattern of their investment. The most important region among developing countries for foreign direct investment outflows is Asia, though there has been an increase in other developing regions as well. In this chapter, we present an analytical survey of the literature around the various issues that determine the location decision of global capital and also investigate the current changes in trends in these investment flows. We also explain the motivating factors behind the location decisions of southern multinationals, an area relatively new in the literature on foreign direct investment.

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Skill Upgrading in Developing Countries: Has Inward Foreign Direct Investment Played a Role?

Cited by 33 publications

References 32 publications

The Migration FDI Puzzle: Complements or Substitutes?

The Migration FDI Puzzle: Complements or Substitutes?

Transgovernmental Networks and Cooperation in the Global South

The Determinants of Foreign Direct Investment: An Analytical Survey

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