Showing papers by "Ari Kokko published in 1995"
TL;DR: The debate on the role of government policies for economic performance has, in recent years, turned from discussing the choice between free markets and government intervention to asking what types of intervention are good or bad.
114 citations
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TL;DR: In this article, the characteristics of inward FDI in Uruguay during two different trade regimes the import-substituting period that lasted until 1973 is compared to the subsequent, more outward-oriented policy environment and examines differences in the productivity spillovers from the foreign MNCs that entered during the two regimes.
Abstract: The present paper describes the characteristics of inward FDI in Uruguay during two different trade regimes the import-substituting period that lasted until 1973 is compared to the subsequent, more outward-oriented policy environment and examines differences in the productivity spillovers from the foreign MNCs that entered during the two regimes. The results indicate that the foreign MNC affiliates established during the import-substituting regime have positive productivity spillovers effects on local firms, but there are no signs of productivity spillovers from the affiliates established during the outward-oriented periodo One possible explanation for these findings is that importsubstituting foreign affiliates bring in production technologies that are not well developed in the host country, which creates a large potential for learning and transfers of production technology to local firms. Export-oriented foreign affiliates, by contrast, may base their operations on production technologies that are not very different from those used by local firms, and instead build their competitiveness on skills in international marketing and distribution.
23 citations
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TL;DR: The authors argue that the large multinationals have been supported at the expense of small and medium-sized firms, and that the non-multinational sector is thus less dynamic in Sweden than in many other countries.
Abstract: Sweden is home to a remarkably large number of prosperous multinationals. We argue that this is partly the result of industrial policies that have been biased in favour of large firms, and partly the result of an institutional setting where regulations and controls have facilitated investment abroad by Swedish firms, while impeding foreign direct investment in Sweden. A particularly important feature of the institutional environment is that Swedish labour unions have supported Swedish investment abroad, but opposed foreign investment in Sweden. This paper outlines the development of Swedish foreign investment policies, describes the traditional Swedish model of industrial policy, and discusses the attitudes of the Swedish labour movement. The implications for long-run growth of Swedish industrial policy are also discussed. We argue that the large multinationals have been supported at the expense of small- and medium-sized firms, and that the non-multinational sector is thus less dynamic in Sweden than in many other countries.
12 citations