Tax havens have long been a subject of concern and were nutritiously used mostly by the rich elite and gangsters. In the wake of the financial crisis in 2008 more light was shed on tax havens and it has become an unanticipated central part of the global economy. This study investigates if globalization has a significant effect on the use of tax havens. The question is analyzed through the lens of fiscal policies and the political economy as well as some further interesting dichotomies and dilemmas. The debate of globalizations and its various effects in the world is still ongoing. While the world economy becomes more mobilized the lack of transparency in countries with higher secrecy becomes more apparent. We measure tax haven activity with foreign direct investment and look at both trade-and financial globalization as well as include a set of key control variables. Using a panel data analysis, we find that globalization has a significant positive effect on tax haven activity. However, in our results we also observe a continuing downward trend in FDI since 2015 which could be indicative of a potential upcoming paradigm shift. Findings in this paper facilitate the understanding of both benefits and concerns with tax havens, it shows how tax havens have been affected by globalization but also an estimation for the uncertain future of tax havens.

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Foreign direct investment is a medium for technology transfers between countries, a stimulant to economic growth, trade promotion, and international economic integration between economies; thus, many studies have studied the relationship between growth and foreign direct investment. This study also aims to investigate the relationship between economic growth and foreign direct investment in the East African country of Kenya. The study used the growth accounting approach as the basis for an econometric model. The data used is a time series from 1970 to 2019. An ordinary least squares method is employed to investigate whether foreign direct investment is significantly associated with economic growth. The findings show that the relationship between foreign direct investment and economic growth in Kenya is negatively insignificant. These findings can further the economic growth and foreign direct investment research on individual African countries whilst considering a country’s individual circumstances, like economical history, in comparison to cross-country studies, where each country’s individual circumstances might not be considered.

京都大学 / 新制・課程博士 / 博士(経済学) / 甲第24775号 / 経博第670号 / 新制||経||303(附属図書館) / 京都大学大学院経済学研究科経済学専攻 / (主査)教授 久野 秀二, 教授 田中 彰, 准教授 WANG Tao / 学位規則第4条第1項該当 / Doctor of Economics / Kyoto University / DGAM

Zambia is a developing nation that seeks economic growth through gross domestic product (GDP) growth, among other economic drivers. Between the years 2011 and 2020, Zambia embarked on an infrastructure development programme, mainly through construction of roads and airports. To do these projects, Zambia borrowed heavily on one hand while promoting the nation as an attractive destination for foreign direct investment (FDI) inflows on the other hand. The study sought to answer the question, can a country that is highly indebted attract meaningful FDI inflows that would spur economic growth? The research looked at a period of ten (10) years from 2010 to 2020 and analysed publicly available data to form the basis for the findings and recommendations. The research findings show that there is negative, however insignificant relationship between government debt and foreign direct investment. In addition, the findings also show that there is a positive relationship between inflation and FDI. This relationship is significant however, in contrast with a prior expectation. Moreover, a significant negative relationship between interest rate and investment was also established whilst a negative, however insignificant relationship was established between exchange rate and FDI. The implications of the recommended policy issues will only yield the desired results when implemented in an integrated manner as opposed to an exclusive approach. The government debt needs to reduce in order to make the country more attractive to foreign direct investors. Policy also needs to be formulated that should target an inflation rate that contributes to the attraction of a positive net foreign direct invest inflows. Interest rate and foreign exchange rate policies that attract investment will also need to be put in place in order to attract investments that will spur development.

Som en följd av globaliseringen har andelen företag som expanderar internationellt ökatmarkant och allt fler företag gör internationella företagsförvärv. Det kulturella mötet mellanparterna i förvärvet har visat sig vara en stor riskfaktor i förvärvets möjlighet att lyckas.Denna uppsats syftar att undersöka vilka aspekter som prioriteras, samt vilken roll kulturspelar, i beslutsprocessen kring nya internationella företagsförvärv hos svenska börsbolag.Teorier kring due diligence behandlas, varpå fokus riktas åt begreppet kulturell due diligence.Data har samlats in genom semistrukturerade intervjuer med fyra personer med ansvar överbeslutsprocessen för internationella företagsförvärv på fyra svenska börsbolag, kompletteratmed sekundärdata. Datapresentationen pekar på att den kulturella aspekten inte är prioriteradi samma omfattning som till exempel den finansiella. Samtidigt påvisas att kultur troligenspelar en avgörande roll när svenska börsbolag tar beslut om internationella företagsförvärv.

Foreign direct investment (FDI) is played a vital role for boosting up the economies of developing countries. Hence, it is necessary to know the factors that determines the flows of FDI in the developing countries. This study has attempted to investigate how different factors affect the inflow of foreign direct investment in South Asian Countries. To attain the objective this study has collected data on the respective variables for 45 years and considered seven countries. The relationship between different economic variables and their overall impact on FDI inflows have been examined through various panel models like basic pooled OLS estimation, entity fixed effect model, time fixed effect estimation and random effect model. The outcome of this study is that GDP of the country is the main factor behind the FDI inflows in South Asian countries.

Post-civil conflict nations have a strong incentive to attract foreign capital because it is vital for redevelopment and economic growth which in turn reduce the likelihood of conflict resumption. Although foreign investors tend to be risk averse and view states that have recently experienced conflict to be high risk environments, this paper argues that power-sharing mechanisms address the roots of civil dissent and therefore provide a positive signal to potential investors. By focusing on a particular peacebuilding mechanism this work is able to single out the impact of one strategy, namely power-sharing, and assess its effectiveness in attracting foreign direct investment.

The primary aim of this dissertation was to examine the implications of conceptualizing Foreign Direct Investment (FDI) as a multilateral and multilevel phenomenon. The first research study in the dissertation examines the implication of a multilateral perspective on FDI in our assessment of the relationship between inward FDI and the economic growth and development of the host countries. This study showed that inward FDI positively impacts the economic growth of the host countries in both the short and long term. The second research study focused on conceptualizing FDI as a multilevel phenomenon. The fundamental premise of this chapter was to explicitly acknowledge that even though the implications of FDI can be observed at the aggregate level, such as host countries, as was the case in the first research study, these consequences emerge from the decisions of the individual firms. Furthermore, the findings of this research study demonstrate that different levels of FDI are interconnected but have different implications for the firm’s performance. Drawing upon the existing literature, two considered levels were location-based FDI networks and interfirm collocation networks. Empirical analyses showed that location-based networks are characterized by agglomeration and lead to positive production externalities, while competitive interactions characterize interfirm collocation networks and lead to negative production externalities. Consequently, increasing agglomeration is associated with increasing production output, and increasing competitive interaction is associated with decreasing production output of the firms. In the last research study, we considered how different network externalities, as explicated in the previous chapter, impact the firms' strategic decision-making. This study shows that firm membership in the country-of-origin network helps them make better decisions, while membership in interform collocation networks worsens their decision-making abilities. / Business Administration/Strategic Management

The first chapter examines donors’ motives for allocating foreign health aid. Do donor countries allocate foreign aid according to their economic interests or the needs of recipient countries?”. This paper analyzes the relevance of the donor country’s government ideology – namely, where it fits on the political spectrum – on how much its aid agencies can be influenced by industrial interest groups. Specifically, I follow Suzuki (2020) and consider to what extent countries with large pharmaceutical sectors structure aid so that recipient countries buy more pharmaceuticals. However, I allow results to differ not only on how autonomous aid agencies are in the donor countries but on whether the ruling government is left or right/center. Using a fractional logit model, the result shows that neither government ideology nor the structure of aid agencies is sufficient on its own in determining health aid allocation (either for economic interest or for the needs of the recipient countries). The allocation of foreign aid is dependent on the combination of government ideology and the structure of the aid agency. Also, regardless of the structure of the aid agency, a government with a right/center political ideology allocates more aid to basic needs than a left party. In the second Chapter, the paper considers to what extent infant mortality lessens for those near a facility financed by development aid. Using geocodes, the study matches household-level data taken from the Bangladesh Demographic and Health Surveys to the location of these aid-backed facilities. Therefore, this paper investigates if proximity to an aid-financed facility enhances the chances of infant survival at the sub-national level. Using a difference-in-difference strategy, the results indicate that geographical proximity to active aid projects reduces infant mortality. In addition, there is evidence of biases in the allocation of aid as the study shows that aid projects are established in areas that on average have lower infant mortality than non-aid locations. The result concludes that while aid is effective in reducing infant mortality in areas where development aid projects are established, there are biases in the allocation as aid is not reaching those that need it the most. The third chapter examines to what extent foreign direct investments worsen environmental pollution. Many see Foreign Direct Investment (FDI) as a source of economic development, income growth, and employment in developing countries. However, FDI could also cause pollution, hurting the environment and harming health. According to past studies, there appears to be no consensus on whether FDI has a positive or negative effect on the host’s environment in developing countries. Using a panel of 48 Sub-Saharan African (SSA) countries, this study examines to what extent inflows of FDI lead to greater pollution using carbon dioxide as a measure of pollution. To the best of my knowledge, this is the first attempt to study this issue for a group of sub-Saharan African countries from 1990 to 2018. The results from fixed effects models show that FDI has no effect on pollution in Sub-Saharan African Countries. These results do not support the Pollution Haven Hypothesis, suggesting that polluting industries leave countries where environmental regulations are strict to re-establish themselves in countries with lax environmental oversight. Given that many African countries are deemed to have ineffective governance (and so presumably less able to enforce environmental standards), the lack of a positive association is especially striking. However, the results show a significant positive relationship between FDI and pollution in more democratic countries while FDI pollutes less in countries that are less democratic.