Table 6 Definition of variables and data sources

From: FDI promotion through bilateral investment treaties: more than a bit?

Variable Definition Source
FDI1 Bilateral FDI flows from source to host country in percent of total FDI to all developing countries included in our sample, including zeros UNCTAD (2008a)
FDI2 Bilateral FDI flows from source to host country in percent of total FDI to all developing countries included in our sample, excluding zeros UNCTAD (2008a)
FDI3 Bilateral FDI flows from source to host country in mill. US$, including zeros UNCTAD (2008a)
FDI4 Bilateral FDI flows from source to host country in percent of GDP of host country, including zeros UNCTAD (2008a)
GDP Real GDP, constant 2000 US$ World Bank (2006)
DiffGDPpc Difference between source and host countries’ GDP per capita, constant 2000 US$ World Bank (2006)
Growth Real GDP growth rate of host country in percent World Bank (2006)
Inflation Inflation rate of host country in percent (GDP deflator) World Bank (2006)
Openness Sum of imports and exports in percent of GDP (host country) World Bank (2006)
BIT Bilateral investment treaty, ratified between source and host country UNCTAD (2008b)
DTT Double taxation treaty, ratified between source and host country IBFD (2008)
CommonCurrency Common currency between source and host country Reinhart and Rogoff (2004)
RTA Dummy regional trade agreement WTO (2008)
PolCon Political constraints III, Henisz database, range from 0 to 1 Henisz (2000)
CapOpen Indicator for capital account openness; Chinn–Ito index on financial openness Chinn and Ito (2005); data kindly provided by Hiro Ito