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    Attracting Foreign Direct Investment as a Tool for Development by Keny-Guyer, Jordan

    With nearly 13% of the global population living in poverty, it is necessary for nations to develop new tools to promote development. This paper examines the ability for countries to attract foreign direct investment through regulatory quality, political stability and lack of conflict, and corruption perception, in order to promote development. Using data from the World DataBank, Transparency International, World Governance Indicators, and Human Development Reports from 2005 to 2014, this study utilizes a fixed effects panel model to measure the effects of focusing on attracting foreign direct investment as a tool for development, measured by the Human Development Index. This study can demonstrate the importance for host countries wishing to develop economically to invite foreign direct investment, and show them the best ways to do so.