The politics of investment partisanship: And the sectoral allocation of foreign direct investment

Economics and Politics

Volumn 20, Issue 2, 2008, Pages 216-254

  Pinto, Pablo M ^a   Pinto, Santiago M ^b  

^a Och Spine at New York Presbyterian Hospitals   (United States)

^b WEST VIRGINIA UNIVERSITY   (United States)

Author keywords

[No Author keywords available]

Indexed keywords

DECISION ANALYSIS; FOREIGN DIRECT INVESTMENT; INVESTMENT LOCATION; OECD; PARTY POLITICS; POLITICAL ECONOMY; STATE ROLE; STATE-BUSINESS RELATIONS;

EID: 43149096230     PISSN: 09541985     EISSN: 14680343     Source Type: Journal    
DOI: 10.1111/j.1468-0343.2008.00330.x     Document Type: Article

References (71)

1. Alesina, A., 1987, Macroeconomic policy in a two-party system as a repeated game. Quarterly Journal of Economics 102, 651-678.
2. Alesina, A., 1988, Macroeconomics and politics. National Bureau of Economic Research Macroeconomics Annual 3, 13-36.
3. Alesina, A. and H. Rosenthal, 1995, Partisan Politics, Divided Government, and the Economy (Cambridge University Press, New York).
4. Alvarez, R. M., G. Garrett, and P. Lange, 1991, Government partisanship, labor organization, and macroeconomic performance. American Political Science Review 85, 539-556.
5. Barro, R. J. and X. Sala-i-Martin, 2003, Economic Growth, 2nd edn. (MIT Press, Cambridge, MA).
6. Beck, N., J. N. Katz, R. M. Alvarez, G. Garrett, and P. Lange, 1993, Government partisanship, labor organization, and macroeconomic performance - a corrigendum. American Political Science Review 87, 945-948.
7. Beck, T., G. Clarke, A. Groff, P. Keefer, and P. Walsh, 2001, New tools in comparative political economy: The database of political institutions. World Bank Economic Review 15, 165-176.
8. Boix, C., 1997, Political parties and the supply side of the economy: the provision of physical and human capital in advanced economies. American Journal of Political Science 41, 814-845.
9. Boix, C., 1998, Political Parties, Growth and Equality: Conservative and Social Democratic Economic Strategies in the World Economy (Cambridge University Press, New York).
10. Boix, C., 2003, Democracy and Redistribution, Cambridge Studies in Comparative Politics (Cambridge University Press, Cambridge, UK).
11. Calvo, G. A., 1978, On the time consistency of optimal policy in a monetary economy. Econometrica: Journal of the Econometric Society 46, 1411-1428.
12. Caves, R. E., 1996, Multinational Enterprise and Economic Analysis, 2nd edn. (Cambridge University Press, New York).
13. Chari, V. V. and P. J. Kehoe, 1990, Sustainable plans. Journal of Political Economy 98, 784-802.
14. Ciccone, A. and G. Peri, 2003, Technological progress and skills' substitutability: U.S. States 1950-1990. CESifo Working Paper Series, CESifo Working Paper No. 1024.
15. Conyon, M. J., S. Girma, S. Thompson, and P. W. Wright, 2002, The productivity and wage effects of foreign acquisition in the United Kingdom. Journal of Industrial Economics 50, 85-102.
16. Drazen, A., 2000, Political Economy in Macroeconomics (Princeton University Press, Princeton, NJ).
17. Dunning, J. H., 1981, International Production and Multinational Enterprise (George Allen & Unwin, London).
18. Dutt, P. and D. Mitra, 2005, Political ideology and endogenous trade policy: An empirical investigation. Review of Economics and Statistics 87, 59-72.
19. Feldstein, M. S., J. R. Hines, and R. G. Hubbard, 1995, Taxing Multinational Corporations (University of Chicago Press, Chicago).
20. Feliciano, Z. and R. Lipsey, 1999, Foreign ownership and wages in the United States, 1987-1992. NBER Working Paper No. w6923.
21. Franzese, R. J., Jr., 2002a, Electoral and partisan cycles in economic policies and outcomes. Annual Review of Political Science 5, 369-421.
22. Franzese, R. J., 2002b, Macroeconomic Policies of Developed Democracies, Cambridge Studies in Comparative Politics (Cambridge University Press, Cambridge, UK).
23. Garrett, G., 1998, Partisan Politics in the Global Economy (Cambridge University Press, New York).
24. Golub, S., 2003, Measures of restrictions on inward foreign direct investment for OECD countries. OECD Economic Studies 36, 85-116.
25. Haber, S., N. Maurer, and A. Razo, 2002, Sustaining economic performance under political instability: Political integration in revolutionary Mexico, in: S. Haber, ed., Crony Capitalism and Economic Growth in Latin America: Theory and Evidence (Hoover Institution Press, Stanford, CA) 25-74.
26. Haber, S., A. Razo, and N. Maurer, 2003, The Politics of Property Rights: Political Instability, Credible Commitments, and Economic Growth in Mexico, 1876-1929 (Cambridge University Press, New York).
27. Haggard, S., 1990, Pathways from the Periphery: The Politics of Growth in the Newly Industrializing Countries (Cornell University Press, Ithaca, NY).
28. Hanson, G. H., R. J. Mataloni, Jr., and M. J. Slaughter, 2001, Expansion strategies of U.S. multinational firms. Brookings Trade Forum 2001, 245-282.
29. Henisz, W. J., 2000, The institutional environment for multinational investment. Journal of Law, Economics, and Organization 16, 334-364.
30. Henisz, W. J., 2002, The institutional environment for infrastructure investment. Industrial and Corporate Change 11, 355-389.
31. Henisz, W. J. and J. G. Williamson, 1999, Comparative economic organization: Within and between countries. Business and Politics 1, 261-276.
32. Henisz, W. J. and B. A. Zelner, 2001, The institutional environment for telecommunications investment. Journal of Economics and Management Strategy 10, 123-147.
33. Heston, A., R. Summers, and B. Aten, 2002, Penn World Table Version 6.1. Center for International Comparisons of Production, Income and Prices at the University of Pennsylvania.
34. Hibbs, D. A., Jr., 1977, Political parties and macroeconomic policy. American Political Science Review 71, 1467-1487.
35. Hibbs, D. A., Jr., 1992, Partisan theory after fifteen years. European Journal of Political Economy 8, 361-373.
36. Hines, J. R., 2001, International Taxation and Multinational Activity (University of Chicago Press, Chicago).
37. Hymer, S., 1976, The International Operations of National Firms: A Study of Direct Foreign Investment (MIT Press, Cambridge, MA).
38. Iversen, T., 1999, Contested Economic Institutions: The Politics of Macroeconomics and Wage Bargaining in Advanced Democracies (Cambridge University Press, New York).
39. Jensen, N. M., 2003, Democratic governance and multinational corporations: Political regimes and inflows of foreign direct investment. International Organization 57, 587-616.
40. Jensen, N. M., 2006, Nation-States and the Multinational Corporation: Political Economy of Foreign Direct Investment (Princeton University Press, Princeton, NJ).
41. Katz, L. and K. Murphy, 1992, Change in relative wages 1963-1987: Supply and demand factors. Quarterly Journal of Economics 107, 35-78.
42. Klein, P. and J.-V. Rios-Rull, 2003, Time-consistent optimal fiscal policy. International Economic Review 44, 1217-1245.
43. Krusell, P., L. Ohanian, V. Rios-Rull, and G. Violante, 2000, Capital-skill complementarity and inequality: A macroeconomic analysis. Econometrica 68, 1029-1053.
44. Kydland, F. E. and E. C. Prescott, 1977, Rules rather than discretion: the inconsistency of optimal plans. Journal of Political Economy 85, 473-492.
45. Levy, B. and P. T. Spiller, 1994, The institutional foundations of regulatory commitment: A comparative analysis of telecommunications regulation. Journal of Law, Economics, and Organization 10, 201-246.
46. Li, Q. and A. Resnick, 2003, Reversal of fortunes: Democracy, property rights and foreign direct investment in developing countries. International Organization 57, 1-37.
47. Mardon, R., 1990, The state and the effective control of foreign capital: The case of South Korea. World Politics 43, 111-138.
48. Markusen, J. R., 1998a, Contracts, intellectual property rights and multinational investment in developing countries. NBER Working Paper No. w6448.
49. Markusen, J. R., 1998b, Multinational firms, location and trade. The World Economy 21, 733-756.
50. Markusen, J. R. and K. E. Maskus, 1999a, Multinational firms: reconciling theory and evidence. NBER Working Paper No. w7163.
51. Markusen, J. R. and K. E. Maskus, 1999b, Discriminating among alternative theories of the multinational enterprise. NBER Working Paper No. w7164.
52. Mataloni, R. J., Jr., 1995, A guide to BEA statistics on U.S. multinational companies. Survey of Current Business 75, 38-55.
53. Nicolas, F., 2001, A case of government-led integration into the world economy, in: F. Sachwald, ed., Going Multinational: The Korean Experience of Direct Investment. Studies in Global Competition (Routledge, London) 17-76.
54. Nicolas, F., 2003, FDI as a factor of economic restructuring: The case of South Korea, in: A. Bende-Nabende, ed., International Trade, Capital Flows, and Economic Development in East Asia: The Challenge in the 21st Century (Ashgate, Aldershot, UK) 150-182.
55. North, D. C. and R. P. Thomas, 1973, The Rise of the Western World: A New Economic History (Cambridge University Press, Cambridge, UK).
56. North, D. C. and B. Weingast, 1989, Constitutions and credible commitments. Journal of Economic History 49, 802-832.
57. OECD, 2005a, STAN Structural Analysis Database (online resource, http://www.oecd.org/statsportal, accessed on: 07/04/05). OECD (Organisation for Economic Co-operation and Development).
58. OECD, 2005b, International Direct Investment Statistics. International Direct Investment by Industrial Sector Vol. 2001 release 02 (online resource, http://www.oecd.org/statsportal, accessed on: 07/06/05). OECD (Organisation for Economic Co-operation and Development).
59. Oneal, J. R., 1994, The affinity of foreign investors for authoritarian regimes. Political Research Quarterly 47, 565-588.
60. Pinto, P. M., 2004, Domestic coalitions and the political economy of foreign direct investment. Ph.D. dissertation, Political Science, University of California, San Diego, La Jolla, CA.
61. Rodrik, D., 1999, Democracies pay higher wages. Quarterly Journal of Economics 114, 707-738.
62. Sachwald, F., 2003, FDI and the Economic Status of Korea: The Hub Strategy in Perspective (Korea Economic Institute of America, Washington, DC).
63. Spiller, P. T. and M. Tommasi, 2003, The institutional foundations of public policy: A transactions approach with application to Argentina. Journal of Law, Economics and Organization 19, 281-306.
64. Stasavage, D., 2003, Public Debt and the Birth of the Democratic State: France and Great Britain, 1688-1789 (Cambridge University Press, New York).
65. Stata Corporation, 2005, Longitudinal/Panel Data Reference Manual (Stata Press, College Station, TX).
66. Tufte, E. R., 1978, Political Control of the Economy (Princeton University Press, Princeton, NJ).
67. Tybout, J., 2000, Manufacturing firms in developing countries: How well do they do, and why? Journal of Economic Literature 38, 11-44.
68. Wildasin, D. E., 2003, Fiscal competition in space and time. Journal of Public Economics 87, 2571-2588.
69. Williamson, O. E., 1985, The Economic Institutions of Capitalism: Firms, Markets, Relational Contracting (Free Press, New York).
70. Wilson, J. D., 1999, Theories of tax competition. National Tax Journal 52, 269-304.
71. Yun, M., 2003, Foreign direct investment and corporate restructuring in post-crisis Korea, in: S. Haggard, W. Lim, and E. Kim, eds., Economic Crisis and Corporate Restructuring in Korea: Reforming the Chaebol (Cambridge University Press, Cambridge, UK) 233-264.