Where FDI Goes in Decentralized Authoritarian Countries: The Politics of Taiwanese Site Selection in Mainland China, by Kelan Lu.

The article focuses on the dynamics of foreign direct investment (FDI) in China, particularly examining how fiscal decentralization influences local governments' ability to attract FDI, with a specific emphasis on Taiwanese direct investment (TDI). The author argues that local governments with greater fiscal autonomy are better positioned to attract FDI by prioritizing profit maximization and improving the investment environment, although this effect diminishes as FDI levels increase. The book is structured into six chapters, exploring the evolution of FDI policies in China, theoretical frameworks, and empirical analyses of the relationship between fiscal decentralization and FDI inflows. It contributes to the understanding of how local government incentives and adversarial political relations shape investment flows, making it a valuable resource for those studying the political economy of foreign investment in China. [Extracted from the article]