Natural Resources, Property Rights, and the Domestic Logic of BIT Signing

In contrast to the substantial scholarship on whether bilateral investment treaties (BITs) increase foreign direct (FDI), there is less work what drives governments sign these in first place. I develop a theory of treaty signing that emphasizes domestic factors motivate government BITs. Using panel dataset developing countries from 1960 2010, find scarce natural resources are more likely BITs compared their richer counterparts. addition, with middle levels property rights those low or high levels. Finally, most BIT signers resource-scarce rights. That strategic dynamics exist has implications for assessing effects other issue areas such as trade, human rights, and environment.