Trends, Patterns and Determinants of Australian Foreign Direct Investment
Year: 2010
Type: article
Abstract: The aim of this paper is to present empirical evidence of the determinants of Australian foreign direct investment using hypotheses drawn from an investment demand model, new trade theory and institutional economics. The findings suggest that countries which are open, have a large domestic market, and have a similar language and culture to Australia's attract most of its foreign investment. There is also evidence to suggest that countries in regional blocs tend to attract Australian investment, possibly opening up opportunities for investors to capture a large regional market. Although difficult to prove statistically, the findings also suggest that countries that are economically more stable and have strong institutional credibility tend to attract Australian investment.
Source: Journal of Economic Issues
Authors: Kishor Sharma, Yapa Bandara
Institution: Charles Sturt University
Language: English
Subfield: Strategy and Management
Domain: Social Sciences
Open Access status: green
OpenAlex ID: W2005285511