ASEAN Economic Integration through Trade and Foreign Direct Investment: Long-Term Challenges

Foreign direct investment and economic integration

The Interactive Relationship between Regional Trade Integration and Foreign Direct Investment

E conomic integration among countries has continued to deepen over the past decade. This is especially visible at the regional level, with the escalation of Regional Integration Agreements (RIAs) ranging from Free Trade Areas (FTAs) to Customs Unions (CUs). Nowadays, many developing countries have entered a new regional integration agreement with developed and developing countries. S...

Integration Effects and Trade Barriers: Does European Economic Integration affect Foreign Direct Investment?

This paper analyzes the net effect of integration, as a measure of changes in trade barriers, on reducing the border effects between European countries. In order to study this contribution, we examine the size of home bias in the market for goods among 18 European countries over the period 1995-2006. The construction of a gravity model, using disaggregated data for 23 sectors, allowed us to com...

Achieving Regional Convergence through the Role of Foreign Direct Investment and Portfolio Investment: Evidence from ASEAN+3

T he purpose of this study is to analyze the effect of foreign direct investment and portfolio investment on the convergence occurrence of economic growth of countries in the ASEAN + 3 region and to determine the time or speed required to achieve convergence. The type of data used in this research is secondary data panel which is combination between time series data and cross-section...

Impact of Foreign Direct Investment and Trade on Economic Growth

Foreign direct investment (FDI) and trade are often seen as important catalysts for economic growth in the developing countries. FDI is an important vehicle of technology transfer from developed countries to developing countries. FDI also stimulates domestic investment and facilitates improvements in human capital and institutions in the host countries. International trade is also known to be a...