The Determinants of Cross-Border Equity Flows

1999150 citationsPreprintgreen Open Access

Authors

Richard Portes · Delta Air Lines (United States)

Hélène Rey · Delta Air Lines (United States)

Abstract

We apply a new approach to a new panel data set on bilateral gross cross-border equity flows between 14 countries, 1989-96. The remarkably good results have strong implications for theories of asset trade. We find that the geography of information heavily determines the pattern of international transactions.

Topics & Keywords

Global Financial Crisis and Policies Economic Policies and Impacts Economic theories and models

UN Sustainable Development Goals

Partnerships for the goals

Publication Details

Published in: National Bureau of Economic Research

DOI: 10.3386/w7336