590 International Organization TABLE 1.FDI as a percentage of gross domestic investment St.Kitts and Nevis 55.56 Honduras 5.92 Turkey 2.09 Singapore 41.50 Senegal 5.79 Central African Rep. 2.05 Sierra Leone 37.87 Malawi 5.75 Mozambique 2.02 Trinidad and Tobago 28.11 Greece 5.33 Chad 1.97 Fiji 25.64 Paraguay 5.33 Iceland 1.95 Jamaica 23.40 Nicaragua 5.25 Lesotho 1.93 Seychelles 22.08 France 4.91 Syria 1.87 New Zealand 21.26 Colombia 4.82 Israel 1.76 Vanuatu 19.51 Argentina 4.72 Philippines 1.60 Ecuador 17.90 Thailand 4.65 Cameroon 1.46 Dominican Republic 16.32 Bolivia 4.43 Chile 1.44 Grenada 15.43 Namibia 4.34 Gambia 1.39 Belize 14.85 Venezuela 4.28 El Salvador 1.38 Panama 14.76 Indonesia 4.26 Guinea Bissau 1.37 Portugal 13.20 Denmark 4.18 Algeria 1.32 Malaysia 13.12 Tunisia 3.77 Sri Lanka 1.17 Netherlands 13.09 Mexico 3.75 Togo 0.92 Nigeria 12.52 Norway 3.74 South Korea 0.84 Costa Rica 11.73 Guinea 3.65 Poland 0.59 United Kingdom 11.72 Kenya 3.14 Burkina Faso 0.43 Ghana 11.70 Jordan 2.97 Rwanda 0.41 Spain 11.20 Egypt 2.95 India 0.34 Australia 10.17 Brazil 2.95 Burundi 0.30 Papua New Guinea 9.84 United States 2.90 Japan 0.19 Benin 8.89 China 2.83 Bulgaria 0.08 Cyprus 8.37 Pakistan 2.69 Bangladesh 0.05 Guatemala 8.33 Sweden 2.66 Zimbabwe -0.39 Canada 8.11 Morocco 2.64 Mali -0.63 Cote d'lvoire 8.03 Mauritania 2.59 Congo -0.71 Switzerland 7.69 Gabon 2.53 Iran -1.05 Guyana 7.38 Italy 2.45 Comoros -2.03 Madagascar 6.64 Finland 2.19 Peru -2.85 Ireland 6.49 Austria 2.13 Zambia -11.54 Mauritius 6.16 Source:World Development Indicators 1998 ber of causal mechanisms by which democracy has a positive effect on FDI in- flows.Before examining the role of democracy on FDI inflows,I describe the economics of FDI. Determinants of FDI John Dunning's ownership,location,and internalization (OLI)framework is gen- erally considered the paradigmatic theory of the multinational firm's investment decisions,where multinational enterprises (MNEs)invest internationally for rea-ber of causal mechanisms by which democracy has a positive effect on FDI in- flows+ Before examining the role of democracy on FDI inflows, I describe the economics of FDI+ Determinants of FDI John Dunning’s ownership, location, and internalization ~OLI! framework is gen￾erally considered the paradigmatic theory of the multinational firm’s investment decisions, where multinational enterprises ~MNEs! invest internationally for rea￾TABLE 1. FDI as a percentage of gross domestic investment St+ Kitts and Nevis 55+56 Honduras 5+92 Turkey 2+09 Singapore 41+50 Senegal 5+79 Central African Rep+ 2+05 Sierra Leone 37+87 Malawi 5+75 Mozambique 2+02 Trinidad and Tobago 28+11 Greece 5+33 Chad 1+97 Fiji 25+64 Paraguay 5+33 Iceland 1+95 Jamaica 23+40 Nicaragua 5+25 Lesotho 1+93 Seychelles 22+08 France 4+91 Syria 1+87 New Zealand 21+26 Colombia 4+82 Israel 1+76 Vanuatu 19+51 Argentina 4+72 Philippines 1+60 Ecuador 17+90 Thailand 4+65 Cameroon 1+46 Dominican Republic 16+32 Bolivia 4+43 Chile 1+44 Grenada 15+43 Namibia 4+34 Gambia 1+39 Belize 14+85 Venezuela 4+28 El Salvador 1+38 Panama 14+76 Indonesia 4+26 Guinea Bissau 1+37 Portugal 13+20 Denmark 4+18 Algeria 1+32 Malaysia 13+12 Tunisia 3+77 Sri Lanka 1+17 Netherlands 13+09 Mexico 3+75 Togo 0+92 Nigeria 12+52 Norway 3+74 South Korea 0+84 Costa Rica 11+73 Guinea 3+65 Poland 0+59 United Kingdom 11+72 Kenya 3+14 Burkina Faso 0+43 Ghana 11+70 Jordan 2+97 Rwanda 0+41 Spain 11+20 Egypt 2+95 India 0+34 Australia 10+17 Brazil 2+95 Burundi 0+30 Papua New Guinea 9+84 United States 2+90 Japan 0+19 Benin 8+89 China 2+83 Bulgaria 0+08 Cyprus 8+37 Pakistan 2+69 Bangladesh 0+05 Guatemala 8+33 Sweden 2+66 Zimbabwe 20+39 Canada 8+11 Morocco 2+64 Mali 20+63 Côte d’Ivoire 8+03 Mauritania 2+59 Congo 20+71 Switzerland 7+69 Gabon 2+53 Iran 21+05 Guyana 7+38 Italy 2+45 Comoros 22+03 Madagascar 6+64 Finland 2+19 Peru 22+85 Ireland 6+49 Austria 2+13 Zambia 211+54 Mauritius 6+16 Source: World Development Indicators 1998+ 590 International Organization