The impact of FDI on International Trade

Christian Bellak; John A. Cantwell

The impact of FDI on International Trade

Publikation: Wissenschaftliche Fachzeitschrift › Originalbeitrag in Fachzeitschrift › Begutachtung

Abstract

The article reviews theoretical approaches and empirical results of the impact of foreign direct investment (FDI) on trade. Conventional trade theory suggests either trade creating or trade replacing effects. Resource-based, local market-oriented and internationally integrated investments are distinguished, with particular reference to affiliate learning and technological upgrading. The article concludes that, with the growth of international trade controlled by multinational companies (MNCs) and of internationally integrated intra-MNC networks, there is a steadily increasing complementarity between FDI and international trade.

Originalsprache	Englisch
Seiten (von - bis)	120 - 127
Seitenumfang	8
Fachzeitschrift	Journal of International Relations and Development (formerly: The International Trade Journal)
Ausgabenummer	2
Publikationsstatus	Veröffentlicht - 2000

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abstract = "The article reviews theoretical approaches and empirical results of the impact of foreign direct investment (FDI) on trade. Conventional trade theory suggests either trade creating or trade replacing effects. Resource-based, local market-oriented and internationally integrated investments are distinguished, with particular reference to affiliate learning and technological upgrading. The article concludes that, with the growth of international trade controlled by multinational companies (MNCs) and of internationally integrated intra-MNC networks, there is a steadily increasing complementarity between FDI and international trade.",

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AB - The article reviews theoretical approaches and empirical results of the impact of foreign direct investment (FDI) on trade. Conventional trade theory suggests either trade creating or trade replacing effects. Resource-based, local market-oriented and internationally integrated investments are distinguished, with particular reference to affiliate learning and technological upgrading. The article concludes that, with the growth of international trade controlled by multinational companies (MNCs) and of internationally integrated intra-MNC networks, there is a steadily increasing complementarity between FDI and international trade.

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JO - Journal of International Relations and Development (formerly: The International Trade Journal)

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