We examine the effect of financial remoteness on foreign direct investment(FDI) using a sample of 173 countries over the period 1970-2015. Our re-sults show that financial remoteness has a significant negative effect onFDI, which suggests that proximity to major financial centres is an im-portant factor in deciding on foreign investments. Our results are robustto alternative measures of financial remoteness and controlling for otherdeterminants of FDI from the literature.
|Number of pages||14|
|Journal||Review of Economic Analysis|
|Publication status||Published - 12 Jul 2019|