TY  - JOUR
AU  - Alfaro, Laura
AU  - Kalemli-Ozcan, Sebnem
AU  - Volosovych, Vadym
TI  - Capital Flows in a Globalized World: The Role of Policies and Institutions
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 11696
PY  - 2005
Y2  - October 2005
DO  - 10.3386/w11696
UR  - http://www.nber.org/papers/w11696
L1  - http://www.nber.org/papers/w11696.pdf
N1  - Author contact info:
Laura Alfaro
Harvard Business School
Morgan Hall 263
Soldiers Field
Boston, MA 02163
Tel: 617/495-7981
Fax: 617/496-5985
E-Mail: lalfaro@hbs.edu

Ṣebnem Kalemli-Özcan
Department of Economics
University of Maryland
Tydings Hall 4118D
College Park, MD 20742-7211
Tel: 301/405-3266
E-Mail: kalemli@econ.umd.edu

Vadym Volosovych
Finance Group, Department of Business Economics
Erasmus University Rotterdam
Room E2-31
P.O. Box 1738
3000 DR Rotterdam, The Netherlands
Tel: +31 10 408-1326
Fax: +31 10 408-9165
E-Mail: volosovych@ese.eur.nl
M1  - published as Laura Alfaro, Sebnem Kalemli-Ozcan, Vadym Volosovych. "Capital Flows in a Globalized World: The Role of Policies and Institutions," in Sebastian Edwards, editor, "Capital Controls and Capital Flows in Emerging Economies: Policies, Practices, and Consequences" University of Chicago Press (2007)

AB  - We describe the patterns of international capital flows in the period 1970 - 2000. We then examine the determinants of capital flows and capital flows volatility during this period. We find that institutional quality is an important determinant of capital flows. Historical determinants of current legal institutions have a direct effect on foreign investments. Policy plays a significant role in explaining the changes in the level of capital flows over time and their volatility.
ER  -