Imports, Exports and Foreign Direct Investment Interactions and Their Effects

Abstract

This study explores how international trade and investment flows affect each other, using data from OECD and 6 ASEAN countries, and examines whether trade and investment linkages are different between developed and developing economies, or between countries that participate actively in bilateral and/or regional trade agreements. After a brief overview of the literature and global trends in trade and investment flows in the next section, the methodology and data used in the study are presented in section B. Empirical results obtained and policy implications are discussed in section C, followed by concluding remarks in section D.

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