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Organized Crime and Foreign Direct Investment

Evidence From Criminal Groups in Mexico

Bibliographic Data

ID10071806
AuthorsAna Carolina Garriga (0000-0002-9332-8202, University of Essex), Barbara J Phillips (0000-0002-9812-4030, University of Essex, corresponding author)
Year2022
Volume67
Issue9
Pages1675-1703
Publication date2022-12-15
Peer ReviewedYes
Open AccessYes
TypeARTICLE
VenueJournal of Conflict Resolution (JOURNAL)
Journal identifiersISSN: 0022-0027 • E-ISSN: 1552-8766
PublisherSAGE Publishing (PUBLISHER • US)
DOI10.1177/00220027221145870
OpenAlexW4311609939
LanguageEN
Citations received2
References cited81

How does organized crime affect foreign direct investment (FDI) in developing countries? Some research examines the effects of crime, such as homicide rates, on FDI. However, we know little about how organized crime in particular might affect such investment. This paper examines organized crime and FDI in Mexican states between 2000 and 2018. This case is important because Mexico is one of the top global recipients of FDI. At the same time, criminal violence has killed hundreds of thousands of people in Mexico in recent years, and scholars seek to understand the violence’s wider effects. We explain how organized crime competition, as opposed to crime generally, should shape investors’ decisions. Analyses using original data on criminal organization territory find that higher numbers of criminal groups are associated with lower levels of new FDI. Other measures of crime, such as homicide rates or crime rates, are not associated with foreign investment

Affect (linguistics · Business · Competition (biology · Criminology · Demographic economics · Economics · Foreign direct investment · Homicide · Investment (military · Organised crime · Poison control · Political science · Sociology · Corruption and Economic Development · Crime, Illicit Activities, and Governance · Human Factors and Ergonomics · Law · Taxation and Compliance Studies

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Unique citing works2
Citations per year2
Citation span2025 - 2026 (2)
Citation velocitycurrent
Highly citedNo
Citation typesNeutral: 2
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