FDI and Trade in Portugal: a gravity analysis

Ana Paula Africano · Manuela Magalhães

42 citations0/0 files storedRePEc: Research Papers in Economics

No readable copy stored yet — this record is metadata only.

No open-access location is known for this record yet.

Literature note Cite in a project Citation map

Global trade and economics International Business and FDI Global Trade and Competitiveness

Abstract

This study investigates the relation between the stock of foreign direct investment (FDI) and the geographical pattern of trade flows in the Portuguese economy. The gravity model is applied to bilateral trade between Portugal and OECD countries plus Brazil from 1998 to 2000. The stock of inward FDI is positively related to trade suggesting the existence of complementary between the two. This effect is stronger on exports than on imports resulting in a positive impact on trade balance. It is also found that the stock of outward FDI has no significant relation either with Portuguese exports or imports. Finally, FDI helps to explain the above “normal” exports to the EU and the below “normal” imports from Candidate Countries.

Paper brief

Loading…

Cite this work

Citation unavailable for this work.

BibTeX RIS CSL-JSON

No public copy is stored for this record, so only the metadata is cited.

Citations in this library

Citation map →

Stored only when both papers are in the corpus — 42 citations exist upstream.

References

1993Innovation and Growth in the Global Economy.1979A Theoretical Foundation for the Gravity Equation.1964Shaping the World Economy: Suggestions for an International Economic Policy.1989The Generalized Gravity Equation, Monopolistic Competition, and the Factor-Proportions Theory in International Trade 2014National and International Returns to Scale in the Modern Theory of International Trade 1993An Empirical Assessment of the Proximity-Concentration Tradeoff between Multinational Sales and Trade 1984Multinationals, multi-plant economies, and the gains from trade 1979EXPLAINING CHANGING PATTERNS OF INTERNATIONAL PRODUCTION: IN DEFENCE OF THE ECLECTIC THEORY

Cited by

2019The Impact of China’s Outward Foreign Direct Investment on Trade Intensity with Belt and Road Countries 2007A panel analysis of the FDI impact on international trade 2010Trade-FDI linkages in a simultaneous equations system of gravity models for german regional data 2019The interaction between trade and FDI: The CEECs experience

Explore the map →

Papers that cite the same references — the relational fallback while embeddings are still backfilling.

Imported from OpenAlex (CC0) — nothing here is generated.