Bargaining Power and Foreign Direct Investment in China: Can 1.3 Billion Consumers Tame the Multinationals?

Abstract

Foreign direct investment (FDI) is commonly seen by economists and policy makers as a premier agent, not only of globalization, but also of economic growth and development. In fact, in light of the Asian and South American financial crises, in which portfolio flows proved to be flighty and unreliable, FDI is now treated more than ever as the capital flow of choice. FDI has thus become one of the most sought-after commodities in the global economy, the object of enormous investments of time and resources by policy makers who want to attract it, and the subject of an enormous amount of research and debate concerning its nature and impact. These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

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