The Pattern of Foreign Direct Investment and International Trade: A Study of 30 OECD Countries from 1981 to 2015
Abstract
This paper is a macroeconomic study investigating the causality of foreign direct investment and international trade. The research is based on 30 OECD countries from 1981 to 2015 and using data collected from official annual time series data. To interpret the causality in each country, we added six country profile factors to cooperate analysis whether different country profile factors would change the causality. The main findings indicate that there is a bidirection always exists if the country has either pure high-ranking level of all the country profile factors or they have a pure of the low ranking level of country profile factors.
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