The impact of Foreign Direct Investment on income inequality in Viet Nam

Abstract

In the thesis titled The Impact of Foreign Direct Investment on Income Inequality in Vietnam, an exhaustive exploration of the theoretical foundations and practical implications of foreign direct investment (FDI) on income inequality is investment. This study focus on the direct and indirect pathways through which FDI influences income inequality, examining its effects through employment, wages. Findings from both quantitative and qualitative methods during the 2010-2018 period shows that FDI initially increased income inequality in Vietnam, but at a declining rate over time, notably exacerbating disparities between skilled and unskilled workers. It emphasizes the potential for FDI attraction, bolstered by workforce enhancement and institutional improvements, to alleviate income inequality. Two key solution categories are proposed, intensive encompassing skill development, institutional improvements, and targeted FDI in labor-sectors for underdeveloped regions.