|
Table 1: DATA
SOURCE |
|
|
|
|
|
Variables: |
Source: |
|
FDI Flows |
International Direct Investment Database (OECD) |
|
GDP |
World Economic Indicators |
|
Population |
World Economic Indicators |
|
Number of Workers |
World Economic Indicators |
|
Distance |
Andrew Rose's website: www.haas.berkeley.edu/~arose |
|
Common Language |
Andrew Rose's website: www.haas.berkeley.edu/~arose |
|
Education Attainment |
Barro-Lee Dataset, http://www.nber.org/pub/barro.lee/ |
|
ICRG Index of Financial Risk Rating |
PRS Group |
|
Capital Stock |
Francesco Caselli’s website: http://personal.lse.ac.uk/casellif |
|
Table 2: FREQUENCY OF SOURCE-HOST INTERACTIONS BY COUNTRIES |
|||||
|
Country |
Source |
Host |
Country |
Source |
Host |
|
Algeria |
0.02 |
0.04 |
Korea |
0.45 |
0.31 |
|
Argentina |
0.16 |
0.37 |
Kuwait |
0.04 |
0.00 |
|
Australia |
0.24 |
0.32 |
Libya |
0.02 |
0.02 |
|
Austria |
0.42 |
0.19 |
Malaysia |
0.17 |
0.32 |
|
Belgium |
0.00 |
0.00 |
Mexico |
0.05 |
0.38 |
|
Brazil |
0.18 |
0.37 |
Morocco |
0.07 |
0.17 |
|
Bulgaria |
0.06 |
0.19 |
Netherlands |
0.52 |
0.34 |
|
Canada |
0.22 |
0.23 |
Netherlands Antilles |
0.07 |
0.03 |
|
Chile |
0.07 |
0.32 |
New Zealand |
0.16 |
0.19 |
|
China |
0.24 |
0.40 |
Norway |
0.28 |
0.19 |
|
Chinese Taipei |
0.24 |
0.29 |
Panama |
0.06 |
0.06 |
|
Colombia |
0.08 |
0.18 |
Philippines |
0.10 |
0.31 |
|
Costa Rica |
0.03 |
0.02 |
Poland |
0.12 |
0.30 |
|
Czech Republic |
0.06 |
0.16 |
Portugal |
0.25 |
0.30 |
|
Czechoslovakia |
0.02 |
0.02 |
Romania |
0.07 |
0.20 |
|
Denmark |
0.36 |
0.23 |
Russia |
0.15 |
0.27 |
|
Egypt |
0.06 |
0.21 |
Saudi Arabia |
0.07 |
0.06 |
|
Finland |
0.38 |
0.18 |
Singapore |
0.29 |
0.37 |
|
France |
0.75 |
0.62 |
Slovak Republic |
0.02 |
0.08 |
|
Germany |
0.65 |
0.47 |
Slovenia |
0.05 |
0.12 |
|
Greece |
0.07 |
0.17 |
South Africa |
0.15 |
0.24 |
|
Hong Kong (China) |
0.34 |
0.37 |
Spain |
0.49 |
0.47 |
|
Hungary |
0.08 |
0.20 |
Sweden |
0.42 |
0.28 |
|
Iceland |
0.14 |
0.09 |
Switzerland |
0.46 |
0.22 |
|
India |
0.15 |
0.36 |
Thailand |
0.10 |
0.35 |
|
Indonesia |
0.12 |
0.30 |
Turkey |
0.10 |
0.20 |
|
Iran |
0.10 |
0.07 |
Ukraine |
0.05 |
0.13 |
|
Ireland |
0.20 |
0.24 |
United Arab Emirates |
0.03 |
0.04 |
|
Israel |
0.24 |
0.22 |
United Kingdom |
0.60 |
0.41 |
|
Italy |
0.52 |
0.36 |
United States |
0.63 |
0.47 |
|
Japan |
0.64 |
0.32 |
Venezuela |
0.13 |
0.21 |
|
Table 3: Bilateral
FDI Flows and Selection Equations (Observations on
Non-OECD to Non-OECD FDI are excluded) |
||||
|
|
Panel A |
Panel B |
||
|
|
Flow |
Selection |
Flow |
Selection |
|
Host-Output per worker |
0.037 |
-0.026 |
|
|
|
|
(0.012)** |
(0.010)** |
|
|
|
Host-Instrumented output per worker |
|
|
-0.020 |
-0.038 |
|
|
|
|
(0.016) |
(0.012)** |
|
Source-Output per worker |
0.002 |
-0.025 |
|
|
|
|
(0.014) |
(0.009)** |
|
|
|
Source-Instrumented output per worker |
|
|
-0.078 |
-0.023 |
|
|
|
|
(0.016)** |
(0.013) |
|
|
|
|
|
|
|
GDP per capita - host^ |
1.373 |
0.345 |
2.192 |
0.163 |
|
|
(0.345)** |
(0.250) |
(0.289)** |
(0.218) |
|
GDP per capita - source^ |
1.839 |
0.609 |
2.181 |
0.326 |
|
|
(0.431)** |
(0.276)* |
(0.339)** |
(0.226) |
|
Difference between schooling (source – host) |
0.038 |
-0.097 |
0.058 |
-0.106 |
|
|
(0.042) |
(0.032)** |
(0.044) |
(0.034)** |
|
Common language |
0.728 |
0.323 |
0.727 |
0.321 |
|
|
(0.066)** |
(0.055)** |
(0.066)** |
(0.055)** |
|
Distance (in Logs) |
-0.982 |
-0.534 |
-0.984 |
-0.535 |
|
|
(0.027)** |
(0.030)** |
(0.027)** |
(0.030)** |
|
Population-host^ |
-1.536 |
-0.483 |
-1.687 |
-0.303 |
|
|
(0.771)* |
(0.613) |
(0.773)* |
(0.606) |
|
Population-source^ |
-1.332 |
0.708 |
-1.411 |
1.014 |
|
|
(0.912) |
(0.649) |
(0.909) |
(0.642) |
|
Financial risk rating - source |
0.003 |
0.001 |
-0.001 |
0.002 |
|
|
(0.007) |
(0.005) |
(0.007) |
(0.005) |
|
Financial risk rating - host |
0.018 |
0.013 |
0.011 |
0.011 |
|
|
(0.006)** |
(0.005)** |
(0.006) |
(0.005)* |
|
FDI flows from i to j a year ago ( =1 if yes) |
|
1.599 |
|
1.602 |
|
|
|
(0.038)** |
|
(0.038)** |
|
Correlation (Ui,j, Vi,j) |
-0.064 |
|
-0.059 |
|
|
|
(0.028)* |
|
(0.028)* |
|
|
Inverse Mills ratio |
-0.092 |
|
-0.084 |
|
|
|
(0.041)* |
|
(0.040)* |
|
|
Observations |
17656 |
|
|
|
|
Censored observations |
10906 |
|
|
|
|
Uncensored observations |
6750 |
|
|
|
|
Note:
^ in logs; Country and time fixed effects are included; Robust standard
errors in parentheses; *
significant at 5%; ** significant at 1% |
||||
Table 4: Bilateral FDI Flows and Selection Equations(Observations on
Non-OECD to Non-OECD FDI are excluded; Two-year smoothing) |
||||
|
|
Panel A |
Panel B |
||
|
|
Flow |
Selection |
Flow |
Selection |
|
Host-Output per worker |
0.032 |
-0.004 |
|
|
|
|
(0.015)** |
(0.012) |
|
|
|
Host-Instrumented output per worker |
|
|
-0.032 |
-0.021 |
|
|
|
|
(0.020) |
(0.018) |
|
Source-Output per worker |
-0.007 |
-0.018 |
|
|
|
|
(0.016) |
(0.012) |
|
|
|
Source-Instrumented output per worker |
|
|
-0.101 |
-0.015 |
|
|
|
|
(0.020)** |
|