Exchange Rates and Foreign Direct Investment: An Imperfect Capital Markets Approach
研究全球资本市场信息不完美时汇率如何影响外国直接投资，发现本币贬值降低国内居民相对财富，导致外国收购国内资产，并建立模型检验这一机制对国际资本流动的解释力。
We examine the connection between exchange rates and foreign direct investment that arises when globally integrated capital markets are subject to informational imperfections. These imperfections cause external financing to be more expensive than internal financing, so that changes in wealth translate into changes in the demand for direct investment. By systematically lowering the relative wealth of domestic agents, a depreciation of the domestic currency can lead to foreign acquisitions of certain domestic assets. We develop a simple model of this phenomenon and test for its relevance in determining international capital flows.