Local Communities in Front of Big External Investors: An Opportunity or a Risk?

38 Pages Posted: 16 Nov 2010

See all articles by Angelo Antoci

Angelo Antoci

University of Sassari

Paolo Russu

Università degli Studi di Sassari

Elisa Ticci

University of Florence

Date Written: November 16, 2010

Abstract

In the current age of trade and financial openness, local economies in developing countries are becoming increasingly exposed to external investments. The objective of the proposed two-sector model with environmental externalities is to provide an insight into the interaction between external investors and local communities with a focus upon the different strategies and income sources available to each category. In this context, analysis suggests that environmental regulations and incentives offered in order to attract external capital investment (whether foreign or national) may have an un-uniform impact on the two typologies of actors.

Keywords: Foreign Direct Investments, Environmental Negative Externalities, Structural Changes, Poverty Alleviation

JEL Classification: F21, F43, D62, O11, O13, O15, O41, Q20

Suggested Citation

Antoci, Angelo and Russu, Paolo and Ticci, Elisa, Local Communities in Front of Big External Investors: An Opportunity or a Risk? (November 16, 2010). FEEM Working Paper No. 135.2010, Available at SSRN: https://ssrn.com/abstract=1709911 or http://dx.doi.org/10.2139/ssrn.1709911

Angelo Antoci (Contact Author)

University of Sassari ( email )

Piazza Universita
Sassari, 07100
Italy

Paolo Russu

Università degli Studi di Sassari ( email )

Piazza Universita
Sassari, 07100
Italy

Elisa Ticci

University of Florence ( email )

Piazza di San Marco, 4
Florence, 50121
Italy

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