20.500.12556/RUL-138371 The impact of unilateral BIT terminations on FDI quasi-experimental evidence from India This study identifies the impact of Bilateral Investment Treaties (BITs) on foreign direct investments (FDI) by taking advantage of the random timing of 44 unilateral BIT terminations in India between 2013 and 2019. Using quarterly bilateral data of 138 foreign investors’ home countries (FIHCs), our difference-in-differences (DD) estimates uncover a significant reduction in FDI inflows to India in response to BIT terminations by more than 30 percent compared to countries without terminations. We identify the sudden break with investor protection for new investments as the major transmission channel. Further investigations suggest that investors do not necessarily abandon India in response to BIT terminations but apparently reroute FDI via FIHCs with BITs. Evidence from firm-level data reveals that investors revoke or reroute mainly deals (e.g. mergers and acquisitions) rather than own new projects. Moreover, similarity of some legal institutions with India offsets the negative effect of BIT terminations. entrepreneurship direct investments BIT terminations quasi-experimental difference-in-differences heterogeneous timing bilateral FDI India firm-level podjetništvo Indija direktne investicije true false true Angleški jezik Slovenski jezik Članek v reviji 2022-07-18 13:01:39 2022-07-18 13:08:40 2022-09-15 04:16:40 0000-00-00 00:00:00 2022 0 0 [in press] 2022 0000-00-00 Zaloznikova VTisku NiDoloceno 0000-00-00 0000-00-00 2022-06-17 658 1559-7431 10.1007/s11558-022-09471-3 112109315 The_impact_of_unilateral_BIT_terminations_on_FDI_Quasi-experimental_evidence_from_India.pdf The_impact_of_unilateral_BIT_terminations_on_FDI_Quasi-experimental_evidence_from_India.pdf 1 131072503E083F408BDA3BC79B8B15EA d494c14770efc699ef25f01803690a3fef30464d1c3f39d2e2cb2fd09654dceb 95f070d7-0689-11ed-8aca-00155dcfd717 https://repozitorij.uni-lj.si/Dokument.php?lang=slv&id=158659 https://link.springer.com/article/10.1007/s11558-022-09471-3 0 a44f9a40-0689-11ed-8aca-00155dcfd717 https://repozitorij.uni-lj.si/Dokument.php?lang=slv&id=158660 Ekonomska fakulteta 0 0 0