Foreign Direct Investment and Institutional Diversity in Trade Agreements: Credibility, Commitment, and Economic Flows in the Developing World, 1971–2007

@article{Bthe2014ForeignDI,
  title={Foreign Direct Investment and Institutional Diversity in Trade Agreements: Credibility, Commitment, and Economic Flows in the Developing World, 1971–2007},
  author={Tim B{\"u}the and Helen V. Milner},
  journal={World Politics},
  year={2014},
  volume={66},
  pages={122 - 88}
}
International trade agreements can help developing countries attract foreign direct investment. We ask whether differences in the specific provisions included in trade agreements have differential effects on FDI. Can trade agreements with more credible commitments to protect investment induce more FDI than other agreements? We explore four institutional differences among preferential trade agreements (PTAs). We first examine whether those that have entered into force lead to greater FDI than… CONTINUE READING

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