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How far away is an intangible? Services FDI and distance
Davies, Ronald B.; Guillin, Amélie
Foreign direct investment (FDI) in services has grown significantly in recent years. Evidence of spatial relationships in FDI decisions have been provided for goods manufacturing by utilizing physical distance-based measures of trade costs. This paper investigates spatial interactions for services FDI using several distance measures, including physical distance, genetic distance, and transport time. Across different measures of distance, the traditional determinants of outbound FDI activity remain valid for services. We also find spatial interdependence for services FDI that is generally supportive of complex vertical motivations. European Research Council
Keyword(s): Foreign direct investment; Services; Spatial econometric techniques; F21; F23; Service industries--Location; Investments, Foreign; Space in economics
Publication Date:
Type: Working paper
Peer-Reviewed: Unknown
Language(s): English
Institution: University College Dublin
Publisher(s): University College Dublin. School of Economics
File Format(s): other; application/pdf
First Indexed: 2012-08-25 05:17:09 Last Updated: 2018-10-11 16:19:02