PATTERNS IN THE EXPANSION OF US BANKS FOREIGN OPERATIONS

Combining foreign direct investment theory with data on 32 countries f rom the Federal Reserve Board, we examined U.S. banks' patterns of for eign operations, including their levels of banking services and choice of organizational forms in host countries. Results generally supporte d predictions, but only in developed countries. The lack of support in rapidly growing markets of Asia and Latin America raises serious theo retical concerns, and presents fresh research opportunities into the g lobal banking industry.