Alocação do Investimento Direto Externo entre estados brasileiros
Código: WPE – 269
Maurício M. Bortoluzzo
Sergio N. Sakurai
Adriana B. Bortoluzzo
Foreign Direct Investment (FDI) has become increasingly relevant for the Brazilian economy – the flow of FDI on the country’s GDP ratio presented an average of 0.6% in the 1980s and rose to 2.5% within the period of 2001 to 2010, according to data from UNCTAD. However, there is also a great inequity in the distribution of investment between Brazilian states. This paper aims at investigating the determinants of the location of foreign direct investment among Brazilian states through a panel data econometric study for the years 1995, 2000 and 2005. The results show that investments respond positively to the size of the consumer market, the quality of the workforce, the transport infrastructure and negatively to the cost of labor and high taxes.