Abstract

ORTEGA GOMEZ, Priscila  and  INFANTE JIMENEZ, Zoe T.. Determinants of Foreign Direct Investment on The Pacific Rim Region. Méx.cuenca pac [online]. 2016, vol.5, n.14, pp.79-102. ISSN 2007-5308.

Focusing in Pacific Rim countries, this article aims to identify and analyze the influencers to attract foreign direct investment (FDI). Using panel data for foreign direct investment between 1989 and 2012, we find that FDI was affected positively by economic demand, while production costs influenced negatively; the education levels had a direct relationship, as well as the workforce. Finally, corruption showed an inverse relationship, but lacks confidence level. We conclude that FDI seeks generally located in countries whit greater economic demand, although countries with lower wages are also attractive. Finally, corruption is not a factor affecting forcefully on decisions of investors in the Pacific Rim countries.

Keywords : foreign direct investment; Pacific Rim; economic; human capital; corruption.

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