Legalization, Diplomacy, and Development: Do Investment Treaties De-politicize Investment Disputes?

The United States government often involves itself in foreign investment disputes. While high-level diplomacy is common, explicit sanctions and threats are rare. Investment treaties have no effect on the likelihood of diplomatic intervention. There is no empirical support that US treaties ‘de-politicize’ investment disputes.

GERTZ, G., JANDHYALA, S. and SKOVGAARD POULSEN, L.N. (2018). Legalization, Diplomacy, and Development: Do Investment Treaties De-politicize Investment Disputes? World Development, (107), pp. 239-252.