Explaining the International Direct Investment Position of Countries: Towards a Dynamic or Developmental Approach

  • John H. Dunning
Part of the International Economics Study Group book series (IESG)


This chapter explores the proposition that a country’s international direct investment position, and changes in that position, may be usefully explained by the eclectic theory of international production. Using data on the direct investment flows (or changes in the direct capital stock) of some 67 countries, over the period 1967–78, it also suggests that there is a systematic relationship between the determinants of those flows and the stage and structure of a country’s economic development.


Foreign Direct Investment Direct Investment Foreign Firm Gross National Product International Production 
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© International Economics Study Group 1982

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  • John H. Dunning

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