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Published online by Cambridge University Press: 02 November 2023
This chapter seeks to first empirically establish the relationship between countries’ market failures and their level of infrastructure spending. It then seeks to test the most likely explanations for Chinese foreign spending based on explanations relating to FDI from Western MNCs. Notably, the results do not yield convincing results that these variables can account for Chinese foreign spending patterns. This finding supports the need for a novel approach to Chinese foreign spending in the context of the Belt and Road Initiative.
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