Variable name Definitions and data sources
AFDI Real annual approved FDI inflows into Cambodia from 1995 to 2005. Real approved FDI is computed as approved FDI in current dollars divided by Cambodia’s GDP deflator in the corresponding years. Sources: Cambodian Investment Board, and IMF’s International Financial Statistics Yearbooks
RFDI Real annual realized FDI inflows into Cambodia from 1995–2005. Real realized FDI is annual realized FDI in current dollars divided by Cambodia’s GDP deflator. Sources: Cambodian Investment Board, and IMF’s International Financial Statistics Yearbooks
RGDP Relative real GDP—the ratio of Cambodia’s real GDP, measured in Purchasing Power Parity, to the home country’s real GDP in Purchasing Power Parity. Sources: IMF’s World Economic Outlook’s database
DGROWTH Difference between GDP growth rates of host and home country. Source: World Development Indicators and Taiwan’s
Ministry of Economic Affairs
LRER Relative real exchange rate, defined as the real exchange rate of the US$ to the home country’s currency. Source: IMF’s
International Statistical Yearbooks, World Economic Outlook database and Taiwan’s Ministry of Economic Affairs
RTRADE Cambodia’s real international trade (exports plus imports) to and from the home country, derived from Cambodia’s trade in current US$ deflated by Cambodia’s GDP deflator in the corresponding years. Sources: IMF’s Direction of Trade Statistics CD-ROM, Direction of Trade Statistics Yearbooks, and World Development Indicators
RIR Relative real interest rate, defined as the ratio of Cambodia’s real interest rate to the home country’s real interest rate.
Source: World Development Indicators, ADB’s Key Economic Indicators, and Taiwan’s Ministry of Economic Affairs
DINFLA Difference between the inflation rate of Cambodia and the home country. Inflation rate is the rate of change in GDP deflator.
Source: IMF’s International Financial Statistics Yearbooks, Asian Development Bank’s Key Economic Indicators, and Taiwan’s
Ministry of Economic Affairs
RPOLRISK Relative political risk, defined as the ratio of the annual political risk score of Cambodia to the home country in the corresponding year. Source: Euromoney (various issues)
RLP Relative labour productivity, computed as the ratio of real GDP to the labour force of the country. Sources: IMF’s International
Financial Statistics, and Asian Development Bank’s Key Economic Indicators and Taiwan’s Ministry of Economic Affairs
DIST Geographic distance between Cambodia and the home country, measured in kilometres between Cambodia’s capital city and the home country’s capital city. Source: Great Circles Distance
ASEAN Dummy variable, equal to 1 for the years 1999–2005 when Cambodia was admitted to the Association of Southeast Asian
Nations (ASEAN) and 0 otherwise
CRISIS Dummy variable, equal to 1 for 1997 and 1998, the years of the Asian financial crisis, and 0 otherwise
CHINA Dummy variable, equal to 1 for the years 2001–2005, when China was a member of the World Trade Organization (WTO), and 0 otherwise