000			02261nam a22004577u 4500
001			pwiiw7278
003			OSt
005			20260405120009.0
008			250331t2025 au ||||| |||| 00| ||eng d
040			_cOSt
041			_aeng
084			_aF21 _aF3 _aE22 _aO11 _2jelc
100	1		_aWacker, Konstantin M.
245	1	0	_aHow does FDI transmit into domestic investment? Exploring intra-industry and financial channels
260			_aWien : _bWiener Institut für Internationale Wirtschaftsvergleiche (wiiw), _c2025.
300			_a41 S., _b13 Tables and 6 Figures, _c30cm.
490	1		_awiiw Working Papers _v261
520			_aForeign direct investment (FDI) is often seen as a means to boost domestic investment and, hence, capital accumulation. Yet, the empirical support for such a positive investment effect of FDI is inconclusive. A possible reason is that FDI is often directed towards the financial sector, where capital investment tends to be low. In this paper, we first explore the within-industry relationship between FDI and domestic investment. We then use a novel approach to analyse how FDI into the financial sector transmits into domestic investment by non-financial industries. Using industry-level FDI and investment data from 12 Central and Eastern European countries between 1997 and 2019, we find that about a quarter of FDI into an industry results in domestic investment. Additionally, we document that industries with close links to the financial sector increase domestic investment in the presence of financial FDI, particularly manufacturing, trade and real estate.
650			_ainvestment
650			_acapital formation
650			_aFDI
650			_aforeign direct investment
650			_ainter-industry linkages
651			_aAlbania
651			_aBosnia and Herzegovina
651			_aBulgaria
651			_aCzechia
651			_aEstonia
651			_aHungary
651			_aLatvia
651			_aLithuania
651			_aNorth Macedonia
651			_aPoland
651			_aSlovakia
651			_aSlovenia
690			_aInternational Trade, Competitiveness and FDI
700	1		_ade Leeuw, Tim
830		0	_v261 _w7703 _twiiw Working Papers
856	4	0	_uhttps://wiiw.ac.at/p-7278.html
942			_cP
999			_c9098 _d9098