*Lecturer, Karnataka State Open University, Manasagangothri, Mysore.
**Research Scholars, Department of Studies in Economics and Cooperation, University of Mysore, Mysore.
***Research Scholars, Department of Studies in Economics and Cooperation, University of Mysore, Mysore.
The objective of this study is to shed light on the determinants of foreign direct investment. In addition to this paper clearly reveals that the robustness relationship between FDI and economic development at different levels of economic performance is particularly influenced by several macroeconomic indicators in the study. This paper aims to review the theoretical literature dealing with the determinants of FDI. An aspect that stands out is that most of these studies emphasize factors that are specific to multinational firms, specifically those related to competition among the firms themselves and with local firms with less attention being given to locational factors.
FDI, GDP, BOP and MNEs
