Determining FDI Flows into Scandinavia

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Determining FDI Flows into Scandinavia

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Title: Determining FDI Flows into Scandinavia
The Role of Physical and Intellectual Infrastructure
Author: Kottaridi, Constantina; Bernhard Nielsen, Bo
Abstract: Abstract In a recent global competitiveness report by the IMF, the four Nordic countries all ranked in top ten, attesting to the region’s growing attractiveness as a host location for MNCs. This paper investigates the driving forces determining foreign direct investment flows into Scandinavia. We use a panel data set covering FDI inflows to Denmark, Sweden, Norway and Finland for the period 1979-2000. Results suggest that, in addition to traditional determinants of FDI, technological advantages of the region are of particular importance for foreign investors. Thus, evidence is provided for the changing pattern of international production indicating strategic needs for MNCs to acquire assets and technology that are specific to particular locations.
URI: http://hdl.handle.net/10398/6570
Date: 2003-10-27

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