This matchmaking implies an effective subservient dating ranging from Taiwan FDI and you may exports

Summation result of brand new the law of gravity analyses are offered into the Dining table 1 below. As well as rise above the crowd, absent new dummy details, as the an enthusiastic explanator out-of FDI, only industry proportions (population) looks extreme. As the determinants out-of exports and you will imports, however, all the three explanatory parameters appear high. While using the dummy details to think about vocabulary, development reputation, and you may geographical location, for each and every capita money will get positively and you can notably associated with Taiwan’s outward FDI. And additionally, even though point has been unimportant statistically, it still has bad indication, we.e., the latest further aside the newest machine country are of Taiwan, the latest unlikely Taiwan is just about to invest around.

The text dummy doesn’t appear to be crucial while the good determinant off head funding. This is because Chinese was barely spoken internationally aside from mainland China and you can Hong-kong. Continue Reading