A Race to Lower Standards? Labor Standards and Location Choice of Outward FDI from the BRIC Countries

Published: Sep 30, 2013
Abstract
Scholars argue that multinational corporations tend to locate their investment in countries with lower labor standards, but empirical results are highly inconsistent. In this paper, we investigate the effect of differential labor standards on the location choice of outward greenfield foreign direct investment (FDI) from Brazil, Russia, India and China (i.e., the BRIC countries). We find robust evidence that while there is a tendency towards the...
Paper Details
Title
A Race to Lower Standards? Labor Standards and Location Choice of Outward FDI from the BRIC Countries
Published Date
Sep 30, 2013
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