The FDI and regional development in Chile
type: CreativeWork
description: This is a comprehensive study of regional Foreign Direct Investment in Chile and its relationship with the development of Chilean regions. Following a process of steady foreign capitals flows to Chile, the link of this phenomenon with the growth of Chilean Regions are explored in three main chapters. The first part explores the main determinants in attracting FDI using a set of variables in a panel data econometric regression, finding that the most commonly used variables are determinants in attracting FDI in Chile depending on the type of investment and the sector in which this investment takes place, the investment in primary sectors in Chile are highly localized in regions characterized by having large quantities of natural resources and the significant variables are macroeconomic variables such as growth of GDP, unemployment rate, level of exports and public expenditure, whereas the investment in the services sector is concentrated in metropolitan regions where there were not significant variables from the set studied, only public investment and public expenditure (these variables were separated because they are channeled differently from the government). The second part will also use an econometric technique (panel data regression) to survey the bi-directional causality between FDI and GDP at regional level in Chile, the Granger tests performed in this chapter have an inconclusive outcome in determining bi-directional causality or uni-directional causality and its direction, but it can be inferred that it was the lack of enough time series to test further lags of causality. The third part will take a different approach on this relationship looking for the direct effect of FDI and domestic investment in the community, where large multinational firms are located in conjunction with a state-owned company in the same sector for a specific region of Chile, using an exploratory analysis, secondary data and the Corporate Social Responsibility (CSR) framework, the resu…
abstract: This is a comprehensive study of regional Foreign Direct Investment in Chile and its relationship with the development of Chilean regions. Following a process of steady foreign capitals flows to Chile, the link of this phenomenon with the growth of Chilean Regions are explored in three main chapters. The first part explores the main determinants in attracting FDI using a set of variables in a panel data econometric regression, finding that the most commonly used variables are determinants in attracting FDI in Chile depending on the type of investment and the sector in which this investment takes place, the investment in primary sectors in Chile are highly localized in regions characterized by having large quantities of natural resources and the significant variables are macroeconomic variables such as growth of GDP, unemployment rate, level of exports and public expenditure, whereas the investment in the services sector is concentrated in metropolitan regions where there were not significant variables from the set studied, only public investment and public expenditure (these variables were separated because they are channeled differently from the government). The second part will also use an econometric technique (panel data regression) to survey the bi-directional causality between FDI and GDP at regional level in Chile, the Granger tests performed in this chapter have an inconclusive outcome in determining bi-directional causality or uni-directional causality and its direction, but it can be inferred that it was the lack of enough time series to test further lags of causality. The third part will take a different approach on this relationship looking for the direct effect of FDI and domestic investment in the community, where large multinational firms are located in conjunction with a state-owned company in the same sector for a specific region of Chile, using an exploratory analysis, secondary data and the Corporate Social Responsibility (CSR) framework, the resu…
author: Robles, Johanna D.
language: en
keywords: Foreign Direct Investment (FDI), Regional Development, Developing countries and FDI, Panel data research in Chile, Foreign RSE and community development in Chile
date published: 2010-08-20T17:57:54Z
date modified: 2026-07-22T22:25:09Z
provider: University of Illinois - Urbana-Champaign
publisher: Networked Digital Library of Theses and Dissertations
type: WebPage
source organization: University of Illinois at Urbana-Champaign

PropertyValue
property ID: Handle
value: http://hdl.handle.net/2142/16790