The main purpose of this dissertation was to elucidate the issue of economic competition between jurisdictions for mobile investment. More specifically, the focus was on those institutional factors shaped by government influence and behaviour that compete with each other in the realm of global locational tournaments. This process, termed institutional competition, was analyzed through the methodological framework of the New Institutional Economics which posits that institutions matter in reducing uncertainty and structuring human exchange, and as such helped to address the underlying questions of strategic behaviour and global coordination problems inherent in FDI policy competition. Using the example of the EU’s competition framework, the main research question aimed to determine whether or not a multilateral system of investment rules can be economically and politically effective as well as to address the corollary question of what constitutes a viable arrangement for inter-jurisdictional and inter-regional FDI governance.
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