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The Effect of Population Health on Foreign Direct Investment

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  • Marcella Alsan
  • David E. Bloom
  • David Canning

Abstract

We conduct a panel data analysis of 74 countries over 1980 2000 to investigate whether population health affects foreign direct investment inflows. Our main finding is that health has a positive and significant effect on such inflows for low- and middle-income countries. This finding is consistent with the view that health is an integral component of human capital in developing countries.

Suggested Citation

  • Marcella Alsan & David E. Bloom & David Canning, 2004. "The Effect of Population Health on Foreign Direct Investment," NBER Working Papers 10596, National Bureau of Economic Research, Inc.
    • Handle: RePEc:nbr:nberwo:10596
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    JEL classification:

    • I10 - Health, Education, and Welfare - - Health - - - General
    • F21 - International Economics - - International Factor Movements and International Business - - - International Investment; Long-Term Capital Movements

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