This paper estimates the effect of a measure of political risk on equity investment flows to developing countries. Using a panel data set that includes a larger number of low-income countries than previous studies, it is found that political risk is an important determinant of the sum of foreign direct investment and portfolio equity investment per capita.
No takes yet. Share an insight, caveat, or question.
Philipp Harms (2002) studied this question.
Synapse has enriched 5 related papers. Consider them for comparative context: