Climbing the economic ladder: the role of outward foreign direct investment

This paper argues that, under certain conditions, outward foreign direct investment (FDI) can promote economic development in the home economies from which the investment originates. It presents a conceptual framework incorporating simultaneously the complex interrelationships between the three main tenets shaping the developmental outcomes of outward FDI – the home economy conditions that induce firms to invest abroad; the role of the state in...