Foreign direct investment (FDI) inflows have been an important capital source in Latin America over the past decades. This paper analyzes different regulation models for FDI in the region and discusses the factors which affect the choice of the level of regulation. We address the issue of identyfying a first-best regulatory framework in order to maximize benefits for the host country, in terms of attracting flows that contribute to development.
The regulation of fdi in Latin America and the Caribbean: what impact on host countries?
GRAZZI, MATTEO;MORI, ANTONELLA
2008
Abstract
Foreign direct investment (FDI) inflows have been an important capital source in Latin America over the past decades. This paper analyzes different regulation models for FDI in the region and discusses the factors which affect the choice of the level of regulation. We address the issue of identyfying a first-best regulatory framework in order to maximize benefits for the host country, in terms of attracting flows that contribute to development.
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