Foreign Direct Investment flows have risen very fast over the last 30 years. In addition to the traditional determinants of these flows (e.g. market size, labor cost) the recent literature has emphasized the institutions as a key factor for attracting FDI. The purpose of this workshop is to examine one aspect of the institutional framework that, to our knowledge, received little attention so far: the regulatory environment. Does the way in which and the extent to which product, labor and capital markets are...