Award Date

5-2015

Degree Type

Honors Thesis

Degree Name

Bachelor of Arts

Department

Political Science

Advisor 1

John P. Tuman

Advisor 2

Tiffiany O. Howard

Advisor 3

Mehran Tamadonfar

First Committee Member

Andrew D. Hanson

Number of Pages

44

Abstract

The purpose of this study is to examine the influence of trade patterns and market size in a short time period, in order to identify indicators of the objectives for Chinese foreign direct investment (FDI) into the Caribbean region. Key questions assessed are: What makes the Caribbean particularly advantageous for Chinese investors and how does the host country benefit? Is a higher level of trade, or wealthier markets, associated with higher Chinese FDI? Is China pursuing some foreign policy objectives with FDI in the region? I hypothesize that Chinese FDI is associated with trade, natural resources, or certain foreign policy objectives in the Caribbean region. My results found that Chinese imports and Chinese exports are positively correlated, and those Caribbean countries that rely upon imports from China are more likely to receive more FDI, where FDI takes the form of investments in infrastructure, agricultural and natural materials. Overall, Caribbean nations use FDI to stimulate and develop their local economies and infrastructure, but at the expense of the exploitation of their raw materials and natural resources, or by entering into binding foreign policy commitments and contracts that are not necessarily politically or economically beneficial to them in the long run.

Keywords

Exports; Imports; International relations; Investments; Chinese; Investments; Foreign

Disciplines

International Relations | International Trade Law | Political Science

Language

English

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