The Determinants of FDI in BRIC countries

The combined economies of Brazil, Russia, India, and China (BRIC) have attracted more and more Foreign Direct Investment (FDI) and developed rapidly. This Study examines the determinant factors of FDI inflows into BRIC countries using a set of Panel data from 2001 to 2011. The study conducts panel d...

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Main Author: Lu, Wenbo
Format: Dissertation (University of Nottingham only)
Language:English
Published: 2012
Online Access:https://eprints.nottingham.ac.uk/25994/
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author Lu, Wenbo
author_facet Lu, Wenbo
author_sort Lu, Wenbo
building Nottingham Research Data Repository
collection Online Access
description The combined economies of Brazil, Russia, India, and China (BRIC) have attracted more and more Foreign Direct Investment (FDI) and developed rapidly. This Study examines the determinant factors of FDI inflows into BRIC countries using a set of Panel data from 2001 to 2011. The study conducts panel data analysis and finds the variables as Market Size, Inflation Rate, Labor Cost, Trade Openness, Currency Value and Political Risk are potential determining factors of FDI inflows to BRIC countries. The result suggests that Market Size (measured by GDP per capita), Labor Cost (measured by Wages), and Trade Openness (measured by the ratio of FDI inflows to GDP) are positive and significant in relation to FDI inflows. Inflation Rate and Currency Value (measured by exchange rate) have negative significant effects on FDI inflows to BRIC countries. Trade Openness is an insignificant determinant factor of FDI inflows to BRIC economies.
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format Dissertation (University of Nottingham only)
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institution University of Nottingham Malaysia Campus
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language English
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publishDate 2012
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spelling nottingham-259942018-02-03T05:44:00Z https://eprints.nottingham.ac.uk/25994/ The Determinants of FDI in BRIC countries Lu, Wenbo The combined economies of Brazil, Russia, India, and China (BRIC) have attracted more and more Foreign Direct Investment (FDI) and developed rapidly. This Study examines the determinant factors of FDI inflows into BRIC countries using a set of Panel data from 2001 to 2011. The study conducts panel data analysis and finds the variables as Market Size, Inflation Rate, Labor Cost, Trade Openness, Currency Value and Political Risk are potential determining factors of FDI inflows to BRIC countries. The result suggests that Market Size (measured by GDP per capita), Labor Cost (measured by Wages), and Trade Openness (measured by the ratio of FDI inflows to GDP) are positive and significant in relation to FDI inflows. Inflation Rate and Currency Value (measured by exchange rate) have negative significant effects on FDI inflows to BRIC countries. Trade Openness is an insignificant determinant factor of FDI inflows to BRIC economies. 2012-09-21 Dissertation (University of Nottingham only) NonPeerReviewed application/pdf en https://eprints.nottingham.ac.uk/25994/1/Dissertation.pdf Lu, Wenbo (2012) The Determinants of FDI in BRIC countries. [Dissertation (University of Nottingham only)] (Unpublished)
spellingShingle Lu, Wenbo
The Determinants of FDI in BRIC countries
title The Determinants of FDI in BRIC countries
title_full The Determinants of FDI in BRIC countries
title_fullStr The Determinants of FDI in BRIC countries
title_full_unstemmed The Determinants of FDI in BRIC countries
title_short The Determinants of FDI in BRIC countries
title_sort determinants of fdi in bric countries
url https://eprints.nottingham.ac.uk/25994/