dumludag, devrim (2007): An analysis of the determinants of foreign direct investment in Turkey: the role of the institutional context. Published in: Journal of Business Economics and Management , Vol. 1, No. 10 (January 2009): pp. 15-30.
Download (275kB) | Preview
This paper tries to empirically verify the argument that institutional factors such as enforcement mechanisms, political and economic stability, stable and reliable, transparent legal and regulatory framework and corruption are critical in explaining the behaviour of the foreign direct investment infl ows in Turkey. The main objective of the study is to ascertain the nature of the obstacles and impediments to the greater fl ow of foreign direct investments into Turkish economy for the recent period by focusing on the results of a questionnaire applied to the executives of 52 multinational corporations operating in Turkey in 2006.
|Item Type:||MPRA Paper|
|Original Title:||An analysis of the determinants of foreign direct investment in Turkey: the role of the institutional context|
|Keywords:||Foreign Direct Investment, Institutions, Turkey, Developing Economies|
|Subjects:||F - International Economics > F2 - International Factor Movements and International Business > F23 - Multinational Firms ; International Business
D - Microeconomics > D0 - General > D02 - Institutions: Design, Formation, Operations, and Impact
?? C42 ??
F - International Economics > F2 - International Factor Movements and International Business > F21 - International Investment ; Long-Term Capital Movements
|Depositing User:||devrim dumludag|
|Date Deposited:||07. Jul 2011 15:35|
|Last Modified:||12. Feb 2013 00:18|
Acemoglu, D.; Johnson, S.; Robinson, J. A. 2005. Institutions as the fundamental cause of long-run growth, in Aghion, P. and Durlauf, S. N. (Eds.). Handbook of Economic Growth, Amsterdam: North-Holland.
Acemoglu, D.; Johnson, S.; Robinson, J. A. 2002. The rise of Europe: Atlantic trade, institutional change and economic growth. MIT, Sloan School of Management. Working paper No. 4269-02.
Ashkin, D. 1972. Evolution of private foreign investment climate in Turkey. Florida State University, D. B. A.
Bulutoglu, K. 1970. 100 soruda Türkiye’de yabancı sermaye [Foreign Direct Investment in Turkey: 100 questions]. İstanbul: Gercek Publications.
Coase, R. H. 1960. The problem of social cost, Journal of Law and Economics 3(October): 1–44.
Degutis, M.; Tvaronavičienė, M. 2006. Factor analysis of Lithuanian and Estonian inward direct investment, Verslas: teorija ir praktika [Business: Theory and Practice] 7(3): 150–158.
Dumludag, D.; Sukruoglu, D. 2007. The impact of macroeconomic and institutional variables on foreign direct investment fl ows in emerging markets, Marmara Üniversitesi IIBF Dergisi 23(2): 133–166.
Dumludag, D. 2007. Foreign direct investment in developing economies and Turkey: the Role of Institutions: PhD Dissertation. Istanbul: Bogazici University.
Dunning, J. H. 1970. Studies in international investment. London: George Allen & Unwin, Ltd., Economica 38(149): 1–27.
Erden, D. 1996. A survey of foreign direct investment fi rms in Turkey. Istanbul: Bogaziçi University.
Erdilek, A. 1982. Direct foreign investment in Turkish manufacturing. Tubingen: Mohr Siebeck GmbH & Company KG.
Erdilek, A. 1986. Turkey’s new open door policy of direct foreign investment: A critical analysis of problems and prospects,METU Studies in Development 13(1/2):171–191.
Esiner, E. H. 1966. Türkiye’de Sınai Yatırımlarda Yabancı Sermaye [Foreign Capital in Industrial Investments in Turkey],Istanbul.
FIAS (Foreign Investment Advisory Service). 2001a. A Diagnostic Study of the Direct Foreign Investment Environment in Turkey. Washington: The World Bank.
FIAS (Foreign Investment Advisory Service). 2001b. Turkey’s Administrative Barriers to Investment. Washington: The World Bank.
Gastanaga, V.; Nugent, J.; Pashamova, B. 1998. Host country reforms and FDI infl ows: How much difference do they make? World Development 26(7): 1299–1314.
Ginevičius, R.; Tvaronavičienė, M. 2003. Čo privádza priame zahraničné Investicie do pobaltských krajin? Pripad Litvy, Lotyšska a Estónska [What Drives Foreign Direct Investments into Baltic Countries? The Case of Lithuania, Latvia and Estonia], Ekonomický Časopis [Journal of Economics] 51(8): 963–981.
Ginevičius, R.; Tvaronavičienė, M. 2004. Risk of globalization: Case study of Lithuanian economy, Ekonomický Časopis [Journal of Economics] 2: 212–231.
Habib, M.; Zurawicki, L. 2001. Corruption and foreign direct investment, Journal of International Business Studies 33(2): 290–307.
Hall, R. E.; Jones, C. I. 1999. Why do some countries produce so much more output per worker than others? Quarterly Journal of Economics 114(1): 83–116.
Hare, P. G.; Batt, J.; Cave, M.; Estrin, S. 1999. Introduction, in Hare, P.; Batt, J.; Estrin, S. (Eds.). Reconstituting the Market, The Political Economy of Microeconomic Transformation. Harwood Academic: Amsterdam.
Hymer, S. 1976. The theory of international operations. Cambridge, MA: MIT press.
IMD. 2000. World Competitiveness Yearbook. Available from Internet: <http://www.imd.ch/research/publications/ wcy/index.cfm>.
Jensen, N. M. 2006. Nation States and the multinational corporation, a Political Economy of Foreign Direct Investment. New Jersey: Princeton University Press.
Karluk, R. 1982. Turkiye’de Yabancı Sermaye Yatırımları [Foreign direct investment in Turkey], Istanbul: İstanbul Ticaret Odası [Istanbul Chamber of Commerce].
Kindleberger, C. 1969. American investment abroad. New Haven: Yale University Press.
Knack, S.; Keefer, P. 1995. Institutions and economic performance: cross-country tests using alternative institutional measures, Economics and Politics 7(3): 207–227.
Knickerbocker, F.T. 1973. Oligopolistic reaction and multinational enterprise. Boston: Harvard University.
Li, Q.; Resnick, A. 2003. Reversal of fortunes: democratic institutions and foreign direct investment infl ows to developing countries, International Organization 57(1): 175–211.
Lipsey, R. E. 2001. Foreign direct investment and theoperations of multinational fi rms: Concepts, history and data. Available from Internet: http://www.nber.org/papers/w8665.pdf>.
Loewendahl, H.; Loewendahl, E. E. 2001. Turkey’s performance in attracting foreign direct investment implications of EU enlargement. Available from Internet: <http://aei.pitt. edu/1860/01/ENEPRI_WP08.pdf>
Lopez-Claros, A.; Porter, M. E.; Sala-i-Martin, X.; Schwab, K. 2006. The global competitiveness report 2006–2007. Hampshire,UK: Palgrave Macmillan.
Markusen, J. R. 1995. The boundaries of multinational enterprises and the theory of international trade, Journal of Economic Perspectives 9(2):169–189.
Mauro, P. 1995. Corruption and growth, Quarterly Journal of Economics 110(3): 681–712.
Mauro, P. 1997. The effects of corruption on growth, investment and government expenditures: a country analysis, in Eliot, K. S. (Ed.). Corruption and Global Economy. Washington, D. C.: Institute for International Economics.
Megyery, K.; Sader, F. 1996. Facilitating foreign participation in privatization. Washington D.C.: IFC.
Michalet, C. A. 1997. Strategies of multinationals and competition for foreign direct investment. Washington: The World Bank. 46 p. ISBN 0-8213-4161-8.
Noorbakhsh, F.; Paloni, A.; Youssef, A. 2001. Human capital and FDI infl ows to developing countries: New empirical evidence, World Development 29(9): 1593–1610.
North, D. C. 1990. Institutions, institutional change, and economic performance. New York: Cambridge University Press.
Nunnenkamp, P.; Spatz, J. 2002. Determinants of FDI in developing countries: Has globalization changed the rules of the game? Transnational Corporations 11(2): 1–34.
OECD (Organization for Economic Co-operation and Development) 1996. OECD benchmark defi nition of foreign direct investment. Available from Internet: <http://www. oecd.org/dataoecd/10/16/2090148.pdf>.
Oksay, K. 1967. Turkiye’de Yabancı Sermaye Yatırım Kılavuzu [A guide for foreign direct investment in Turkey]. Istanbul: Dogan Kardes Publicatons.
Oxley, J. E. 1999. Institutional environment and the mechanisms of governance: The impact of intellectual property protection on the structure of inter-fi rm alliances, Journal of Economic Behavior and Organization 38(3): 283–309.
Şahin, M. 1975. Turkiye’de Yabancı Sermaye Yatırımları [Foreign direct investment in Turkey]. Ankara: Ekonomik ve Sosyal Yayınları.
Selik, N. 1961. Turkiye’de Yabancı Ozel Sermaye [Private foreign direct investment in Turkey 1923–1960]. Ankara: Siyasal Bilgiler Fakultesi.
Smarzynska, B. K. 1999. Composition of foreign direct investment and protection of intellectual property rights in transition economies. CEPR Working Paper No. 2228. Center for Economic Policy Research: London.
Tatoğlu, E. 1998. An analysis of the dimensions of Western foreign direct investment in Turkey. Leeds, U.K.: University of Leeds.
TI (Transparency International). 2006. Transparency International Rankings. Available from Internet: <http://www.transparency.org>.
Tuncer, B. 1968. Turkiye’de Yabancı Sermaye Sorunu [Foreign direct investment problem in Turkey]. Ankara: Siyasal Bilgiler Fakültesi Yayınları.
Tvaronavičienė, M.; Grybaitė, V. 2007. Impact of FDI on Lithuanian economy: insight into development of main economic activities, Journal of Business Economics and Management 8(4): 285–290.
Tvaronavičienė, M.; Degutis, M. 2007. If approach to innovations differs in locally and foreign owned fi rms: case of Lithuania, Journal of Business Economics and Management 8(3): 195–203.
Tvaronavičienė, M.; Grybaitė, V.; Korsakienė, R. 2008. Foreign capital destinations: Baltic states versus India, Journal of Business Economics and Management 9(3): 227–235.
UNCTAD (United Nations Conference on Trade and Development). 2006a. World Investment Report, FDI from Developing and Transitional Economies: Implications for Development. Available from Internet: <http://www.unctad. org/en/docs/wir2006_en.pdf>.
UNCTAD (United Nations Conference on Trade and Development). 2006b. Handbook of Statistics UNCTAD. Available from Internet: <http://www.unctad.org/Templates/Page. asp?intItemID=1584&lang=1>.
Uras, G. 1979. Turkiye’de Yabancı Sermaye Yatırımları [Foreign direct investment in Turkey]. Istanbul: Formul Publ.
Vernon, R. 1966. International investment and international trade in the product cycle, Quarterly Journal of Economics 80(2): 190–207.
Wei, S. 1997. Why is corruption so much more taxing than tax? Arbitrariness Kills. NBER Working Paper No. W6255.
Wheeler, D.; Mody, A. 1992. International investment location decisions: The Case of U.S. Firms, Journal of International Economics 33: 57–76.