TY - BOOK ID - 137199742 TI - Migrant Networks And Foreign Direct Investment AU - Javorcik, Beata S. AU - Neagu, Cristina AU - Ozden, Caglar AU - Spatareanu, Mariana PY - 2006 PB - Washington, D.C., The World Bank, DB - UniCat KW - Countries of Origin KW - Debt Markets KW - Economic Growth KW - Economic Theory and Research KW - Employment Opportunities KW - Finance and Financial Sector Development KW - Financial Literacy KW - Foreign Direct Investment KW - Health, Nutrition and Population KW - Host Countries KW - Host Country KW - International Borders KW - International Trade KW - Knowledge KW - Macroeconomics and Economic Growth KW - Migrant KW - Migrants KW - Migration KW - National Boundaries KW - Policy KW - Policy Research KW - Policy Research Working Paper KW - Population Policies KW - Progress KW - Provision of Information KW - Regulatory Regimes KW - Transportation UR - https://www.unicat.be/uniCat?func=search&query=sysid:137199742 AB - While there exists sizeable literature documenting the importance of ethnic networks for international trade, little attention has been devoted to studying the effects of networks on foreign direct investment (FDI). The existence of ethnic networks may positively affect FDI by promoting information flows across international borders and by serving as a contract enforcement mechanism. This paper investigates the link between the presence of migrants in the United States and U.S. FDI in the migrants' countries of origin, taking into account the potential endogeneity concerns. The results suggest that U.S. FDI abroad is positively correlated with the presence of migrants from the host country. The data further indicate that the relationship between FDI and migration is driven by the presence of migrants with a college education. ER -