The Economics of Foreign Direct Investment and Trade with an Application to the U.S. Food Processing Industry
研究美国食品行业外国直接投资的动因及其与贸易的关系，发现外国销售与出口之间存在小幅替代，且东道国保护政策影响投资决策。
Abstract This article investigates the determinants of foreign direct investment and its relationship to trade in the U.S. food industry. A multinational corporation maximizes profits by choosing between production at home, which is exported, and production in a host country. This introduces the possibility that foreign affiliate sales can substitute and/or complement exports. The empirical framework consists of a four‐equations system with foreign affiliate sales, exports, affiliate employment, and FDI as endogenous variables. The results confirm small substitution between foreign sales and exports, and that the host country's protection policies affect the decision to invest abroad.