Foreign direct investment and repression: an analysis across industry sectors

Janz, Nicole (2017) Foreign direct investment and repression: an analysis across industry sectors. Journal of Human Rights . ISSN 1475-4843

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Abstract

The impact of foreign direct investment (FDI) on repression in developing nations is still disputed. Some argue that FDI improves economic development and exports human rights values. Others criticise the exploitation of cheap labour and resources, which may lead to tensions and government oppression. Previous studies have employed aggregate FDI data, with conflicting results. Alternatively, I propose that the effects depend on what kind of FDI enters a country. I build a sectoral framework to discuss how skills and technology levels, as well as the motivation for FDI, can mediate the impact. I then examine the link in a panel data analysis (1983-2010) in 121 countries, integrating sectoral FDI in several resource, manufacturing and service industries. The results show that investment in high-skilled and -tech sectors has positive effects. The results are robust across several measures for repression, and when accounting for sector size, regional and time effects.

Item Type: Article
Schools/Departments: University of Nottingham, UK > Faculty of Social Sciences > School of Politics and International Relations
Identification Number: 10.1080/14754835.2017.1306691
Depositing User: Eprints, Support
Date Deposited: 04 Nov 2016 14:59
Last Modified: 25 May 2017 14:28
URI: http://eprints.nottingham.ac.uk/id/eprint/38518

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