The authors discuss the extent and impact of foreign direct investment and multinational activities on the structure and development of individual economies in the industrialised world.

1 INTRODUCTION 2 THE DYNAMICS OF FDI AND ECONOMIC GROWTH 3 A CROSS-SECTIONAL TEST OF THE IDP 4 NATURAL AND CREATED ASSETS AS DETERMINANTS OF FDI 5 GLOBALISATION, HOMOGENEITY AMONG INDUSTRIALISED COUNTRIES AND DIFFERENCES IN FDI PATTERNS 6 COUNTRY-SPECIFIC FACTORS, TRADE AND FDI PATTERNS OVER THE 1980s 7 TRANSPACIFIC FDI: A FORTY-YEAR VIEW OF CHANGING COMPETITIVENESS 8 SUMMARY, CONCLUSIONS AND POLICY IMPLICATIONS

Rajneesh Narula is an Assistant Professor in International Business and Research Fellow at the Maastricht Economic Research Institute on Innovation and Technology (MERIT) at the University of Limburg.