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Drivers of FDI in small states

Bibliographic Data

ID12550102
AuthorsRobert Forte (0000-0002-3441-9112, Universidade do Porto, corresponding author), Cristiana Neves (Universidade do Porto)
Year2021
Volume28
Issue2
Pages457-483
Publication date2021-10-20
Peer ReviewedYes
Open AccessNo
TypeARTICLE
VenueJournal of the Asia Pacific Economy (JOURNAL)
Journal identifiersISSN: 1354-7860 • E-ISSN: 1469-9648
PublisherRoutledge (PUBLISHER • GB)
DOI10.1080/13547860.2021.1963042
OpenAlexW4376454162
LanguageEN
Citations received1
References cited27

This paper examines the determinants of FDI in small states, as only a small number of studies have analyzed the determinants of FDI in these countries. Small states have particular features that justify the need for a deeper analysis. Based on a panel data for 42 small states between 2005 and 2019, results clearly indicate the importance of the quality of human capital and the availability of infrastructures as the strongest drivers of FDI in small states. The country's level of openness, the availability of natural resources, the level of corporate tax and control of corruption also seems to play a relevant role therein. Moreover, the results suggest that the determinants differ depending on the region to which the country belongs and differ between island and non-island countries. These results can help small countries in defining policies that help them to attract FDI, which is crucial for their sustainable development

Business · Development economics · Economic growth · Economics · Foreign direct investment · Human capital · International economics · International trade · Language change · Macroeconomics · Natural resource · Openness to experience · Panel data · Political science · Quality (philosophy · Global trade and economics · International Business and FDI · Island Studies and Pacific Affairs

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    Open Access•William Easterly, Aart Kraay•World Development•2000

  • Offshore Pariahs? Small Island Economies, Tax Havens, and the Re-configuration of Global Finance

    Open Access•M P Hampton, John Christensen•World Development•2002

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    Aurora A C Teixeira, Sawelerk Nascimento•Journal of Contemporary African…•2019

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    Open Access•Caroline Castiglione, Concetta Castiglione et al.•Communist and Post-Communist…•2012

Unique citing works1
Citations per year1
Citation span2025 - 2025 (1)
Citation velocityrecent
Highly citedNo
Citation typesNeutral: 1

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