This article explores how reciprocity influences public attitudes toward foreign direct investment (FDI).
What We Did: We conducted conjoint and survey experiments across the United States and China. Participants evaluated hypothetical scenarios involving FDI flows to domestic companies, factoring in host-country policies.
Key Findings: Reciprocity emerged as a significant determinant of opposition to foreign acquisitions. Individuals considered rewards or punishments for other countries' economic actions when forming opinions about FDI regulation.
Why This Matters: Our results suggest that international political economy research must account for reciprocity dynamics, which are crucial for understanding public responses to global economic integration and cross-national policies.
