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Submitted in partial fulfillment of the degree Master of Arts in Law and Diplomacy at the Fletcher School of Law and Diplomacy. Abstract: This paper explores the role that foreign direct investment (FDI) plays in accelerating the accumulation of human capital. The empirical literature has established a correlation between human capital and economic growth and recent point to anticipated economic ... read moregrowth leading to faster human capital accumulation. Through two distinct but related mechanisms: the signaling of faster economic growth and the introduction of skill biased production methods, FDI creates incentives for workers to pursue more education. The paper presents a cross country empirical analysis as well as case studies from Mexico and Ireland that demonstrate this link.read less
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