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dc.contributor.authorKellard, NM
dc.contributor.authorKontonikas, A
dc.contributor.authorLamla, MJ
dc.contributor.authorMaiani, S
dc.contributor.authorWood, G
dc.date.accessioned2020-09-16T06:27:16Z
dc.date.available2020-09-16T06:27:16Z
dc.date.issued2020
dc.identifier.issn0261-5606en_US
dc.identifier.doi10.1016/j.jimonfin.2020.102232en_US
dc.identifier.urihttp://hdl.handle.net/10072/397579
dc.description.abstractAll Foreign Direct Investment (FDI) involves risk. Augmenting the international finance literature, we assess the effects of financial system risk on FDI trends through considering both origin and host country effects. Motivated by the sovereign debt crisis and based on a dataset including bilateral FDI holdings, this paper investigates the implications of sovereign and bank-related risk on FDI in the Eurozone. Strikingly, we find that in terms of banking risk, it is only that encountered in the country of origin that has an impact on FDI choices. However, we find that sovereign risk, in both origin and host countries, have effects. As a corollary, we suggest that although poor financial discipline by host governments has been widely blamed as the primary factor likely to frighten off overseas investors, it is amongst FDI supplying nations that the effects of sovereign yields seem most pronounced. Policymakers in countries seeking to attract FDI should not only be attentive to domestic conditions, but also be aware of the financing environment that multinational enterprises (MNEs) encounter in their home countries and how this might impact on their choices.en_US
dc.description.peerreviewedYesen_US
dc.languageenen_US
dc.publisherElsevier BVen_US
dc.relation.ispartofjournalJournal of International Money and Financeen_US
dc.subject.fieldofresearchApplied Economicsen_US
dc.subject.fieldofresearchEconometricsen_US
dc.subject.fieldofresearchBanking, Finance and Investmenten_US
dc.subject.fieldofresearchcode1402en_US
dc.subject.fieldofresearchcode1403en_US
dc.subject.fieldofresearchcode1502en_US
dc.titleRisk, financial stability and FDIen_US
dc.typeJournal articleen_US
dc.type.descriptionC1 - Articlesen_US
dcterms.bibliographicCitationKellard, NM; Kontonikas, A; Lamla, MJ; Maiani, S; Wood, G, Risk, financial stability and FDI, Journal of International Money and Finance, 2020en_US
dc.date.updated2020-09-16T06:24:07Z
gro.description.notepublicThis publication has been entered in Griffith Research Online as an advanced online version.en_US
gro.hasfulltextNo Full Text
gro.griffith.authorWood, Geoffery


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