Location choice
Van Wijnbergen, S. & Venables, T.
(1993).
Location choice.
(CEPDP 177).
London School of Economics and Political Science. Centre for Economic Performance.
Much of the excitement around the North American Free Trade Agreement (NAFTA) has been generated by anticipations of a strongly foreign investment response. Nevertheless, the plethora of applied papers about the NAFTA have all either ignored DFI or kept it exogenous. In this paper we provide support, with empirical underpinning, for the anticipation of a strong DFI response; however this support is qualified by the demonstration that no such DFI response will be forthcoming unless the NAFTA is used to drastically reform the agriculture and services sectors in Mexico.
| Item Type | Working paper |
|---|---|
| Copyright holders | © 1993 the authors |
| Departments | LSE > Research Centres > Centre for Economic Performance |
| Date Deposited | 27 Apr 2007 |
| URI | https://researchonline.lse.ac.uk/id/eprint/2099 |