Decentralization and Foreign Direct Investment : Impact of Fiscal and Political Decentralization on FDI Inflow

Seonyeong Jo (조서녕); Dong-Hun Kim (김동훈)

doi:10.18013/jnar.2019.34.1.011

Decentralization and Foreign Direct Investment : Impact of Fiscal and Political Decentralization on FDI Inflow

The Journal of Northeast Asia Research
Abbr : NEA
2019, 34(1), pp.307-339
DOI : 10.18013/jnar.2019.34.1.011
Publisher : The Institute for Northeast Asia Research
Research Area : Social Science > Political Science > International Politics > International Relations / Cooperation
Received : June 18, 2019
Accepted : August 5, 2019
Published : August 31, 2019

Seonyeong Jo ¹, Dong-Hun Kim ²

¹University of Minnesota
²고려대학교

Accredited

ABSTRACT

We examine the interactive effects of political decentralization and fiscal decentralization on foreign direct investment. We argue that the positive effect of fiscal decentralization on FDI inflow becomes stronger with the political decentralization. Empirically, we test the argument using Hooghe et al. (2015)’s original dataset on Regional Authority Index and analyze 81 countries for the period 1970 to 2010. The empirical results suggest that in general, fiscally and politically decentralized host countries receive more FDI inflow.

KEYWORDS

Foreign Direct Investment, Fiscal Decentralization, Political Decentralization

Citation status

* References for papers published after 2023 are currently being built.

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The Journal of Northeast Asia Research 2023 KCI Impact Factor : 0.75

Decentralization and Foreign Direct Investment : Impact of Fiscal and Political Decentralization on FDI Inflow

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* References for papers published after 2023 are currently being built.

The Journal of Northeast Asia Research 2023 KCI Impact Factor : 0.75

Decentralization and Foreign Direct Investment : Impact of Fiscal and Political Decentralization on FDI Inflow

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