Summary We propose a definition for the average indirect effect of binary treatment in potential outcomes model causal inference under cross-unit interference. Our is analogous to standard direct and can be expressed without needing compare across multiple randomized experiments. show that proposed satisfies decomposition theorem stating Bernoulli trial, sum effects always corresponds policy in...

  This is undoubtedly recognized that economic performance for each country over time is related to a great extent to its political, institutional and legal environment. In fact, these institutions and policies are that determine the governance quality.   In a panel data study, we applied newly developed indices to examine the effects of good governance on FDI for fifteen middle-income countri...

Virtually all governments are keen to attract foreign direct investment (FDI). It can generate new jobs, bring in new technologies and, more generally, promote growth and employment. The resulting net increase in domestic income is shared with government through taxation of wages and profits of foreign-owned companies, and possibly other taxes on business (e.g. property tax). FDI may also posit...

Consider the query: Does a binary treatment X have a causal effect on a response Y through a causal pathway that does not involve the intermediate variable M? This query is often rephrased as: Does X have a direct causal effect on Y not through M? Direct effects have been formally defined in three different ways: the controlled direct effects (CDE), the natural direct effects (i.e. pure and tot...