Comparative Politics

How Does the Rule of Law Impact the FDI Attraction? A Panel Study on Chinese Municipal Governments (2013-2017)

Chengyu Fu Duke University
This study focuses on the impact of the rule of law on FDI attraction in Chinese cities from 2013 to 2017. I divide nomocracy into four aspects and measure their different effects on FDI inflows. Furthermore, I present credible evidence that economic backgrounds influence the rule of law's marginal effects. My research will provide reasonable conclusions that rule of law, both general measurements, and its sub-indicators, has a significant influence on FDI inflows. In addition, their impacts are conditional on the cities’ performance in economic development.