| dc.description.abstract | Following the Asian financial crisis in 1997-1998, macroeconomic
governance focusing on the institutional quality of emerging markets
has become an important research area in the context of corporate
governance and investor protection within finance. Meanwhile, the
inflow of foreign direct investment to emerging markets has continued
to increase, especially into Asian countries. The main purpose of this
thesis is to separately examine the six governance indicators, which
were developed by Kaufmann, Kraay and Mastruzzi at the World Bank, for
the inflow of foreign direct investment into the emerging markets,
both global and Asian. This thesis will make use of panel data from
1996 to 2008 for 37 emerging market countries and include
macroeconomic control variables. The empirical results indicate that
control of corruption, regulatory quality, level of development, trade
openness, gross capital formation and household consumption
expenditure are important determinants of global FDI inflows. However,
for Asian countries, the results show that rule of law, political
stability, level of development, trade openness and household
consumption expenditure are crucial determinants for the recent inflow
of FDI. | sv |
