Investibility determinants: empirical evidence to the Brazilian cities selected for the period 2002-2012

Antônio S. B. da Silva¹*, Carla S. E. Marques², Fred L. Siqueira Campos³ and  Ana Clara Barbieri⁴

¹Faculdade de Ciências Sociais Aplicadas do Sul de Minas (FACESM)

²Universidade de Trás-os-Montes e Alto Douro (UTAD)

³Universidade Federal de Itajubá (UNIFEI)

⁴Faculdade de Ciências Sociais Aplicadas do Sul de Minas (FACESM)

Accepted 27 February 2015

Abstract

Currently, the movements in the foreign direct investment (FDI) are quite complex and they are linked to a number of factors that surround the competitive environment in which firms operate, and to economic characteristics of recipients and senders places, being an object of study of several researches, such as Amal, Seabra e Sugai (2007); Piteli (2009); Gentvilaité (2012); Figini e Görg (2011); Ramstetter (2011); Kim e Park (2012), and others. The aim of this study is to contribute to the analysis of investibility determinants, estimating the main determinants of the flows of foreign direct investment (FDI) on the Brazilian group of cities (São Paulo, Rio de Janeiro, Salvador, Fortaleza, Belo Horizonte, Manaus, Curitiba, Recife, Porto Alegre and Belém) for the period 2002-2012. From the linear mixed-effects model and the Stepwise variables selection method it is suitable to highlight, among the 135 independent variables verified, the public revenues and expenditures, the large companies and the amount of natural resources as main investibility determinants of the group of studied cities.

Keywords: Investibility, FDI determinants, Brazilian selected cities, Linear mixed-effects model.