Abstract
Abstract The BRICS (Brazil, Russia, India, China, and South Africa) countries generally offer some of the best opportunities for successful investment. We therefore examine the factors that encourage or discourage foreign direct investment (FDI) in these BRICS countries. Some similar studies have evaluated the impact of economic risks on investment; fewer studies have explored the political risks associated with investing or how human development within a country can alter the decision to invest. Our innovation is to look at all of these factors, and hence we investigate how domestic economic growth, measures of economic freedom, degrees of political freedom, cultural factors, and levels of human development influence the likelihood of investment in BRICS countries. We find that economic freedom and urbanization are insignificant, but that GDP, political freedom, gross national income, and secondary education all are significant and positive; cellphone subscriptions show negative and significant results.
Published Version
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a call