Proceedings of the International Conference on Education, Management and Information Technology

Comparative Study on Determinants of FDI in BRICS

Authors
Ya-Nan Song
Corresponding Author
Ya-Nan Song
Available Online October 2015.
DOI
10.2991/icemit-15.2015.92How to use a DOI?
Keywords
BRICS, FDI, Panel Data, Individual Variable Coefficient Fixed Effects Model
Abstract

In recent years, the economy of BRICS had developed rapidly, the growth rate of GDP had exceeded the world level, the business scale had gradually extend and foreign direct investment (hereafter referred to as FDI) inflows amount has increased. The economy of BRICS played an important role in the world economy. All the BRICS nations are developing countries with a large scale of population and labor resources. They have abundant natural resources and there have a bigger demand of domestic market. Thus they are the first choice for foreign direct investment. The paper uses empirical research method, employs panel data to analyze the effected factors of FDI inflows of BRICS countries from the period 1996 to 2013 and make comparison of five BRICS countries. The results indicate that there is a positive effect on market scale of FDI inflows of BRICS countries towards to the whole BRICS; the exchange rate have a negative effect on FDI of BRICS; the infrastructure construction have no effect on FDI inflows of BRICS countries. Separately for five BRICS countries, FDI inflows of Brazil, Russia, India, South Africa and China are positively affected by each country’s national market scale; the exchange rate of Russia make a negative effect on FDI; the infrastructure construction of India have a negative effect on FDI and the infrastructure construction of South Africa have a positive effect on FDI.

Copyright
© 2015, the Authors. Published by Atlantis Press.
Open Access
This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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Volume Title
Proceedings of the International Conference on Education, Management and Information Technology
Series
Advances in Social Science, Education and Humanities Research
Publication Date
October 2015
ISBN
978-94-6252-107-0
ISSN
2352-5398
DOI
10.2991/icemit-15.2015.92How to use a DOI?
Copyright
© 2015, the Authors. Published by Atlantis Press.
Open Access
This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

Cite this article

TY  - CONF
AU  - Ya-Nan Song
PY  - 2015/10
DA  - 2015/10
TI  - Comparative Study on Determinants of FDI in BRICS
BT  - Proceedings of the International Conference on Education, Management and Information Technology
PB  - Atlantis Press
SP  - 434
EP  - 438
SN  - 2352-5398
UR  - https://doi.org/10.2991/icemit-15.2015.92
DO  - 10.2991/icemit-15.2015.92
ID  - Song2015/10
ER  -