El efecto de la inversión extranjera directa sobre las disparidades territoriales

Abstract

Abstract: Latin America is classified as the most unequal region in the world, as of 2020 it registered a Gini index of 0.464, which shows that there is moderate inequality in the income distribution in the region. This research examines the relationship between Foreign Direct Investment (FDI) and income inequality under two scenarios, the first, which includes all the Latin American countries as a whole, and the second scenario, where using the World Bank Atlas method it was classified into three groups to countries, according to their income level. A panel data was used for 19 countries in the period 1990-2018, and the Fixed Effects econometric technique was applied to determine this relationship, finding that there is a positive and statistically effect significant difference between FDI and income inequality for both countries across the shown as for upper-middle-income countries, implying that an increase in FDI in billions of dollars generates an increase in the Gini coefficient of 0.00313 percentage points (Latin America) and 0.00468 percentage points (low-income countries) medium high)