Open AccessPosted Content
Much Ado About Nothing? Do Domestic Firms Really Benefit from Foreign Investment?
Reads0
Chats0
TLDR
In this paper, a comprehensive evaluation of the empirical evidence on productivity, wages and exports spillovers in developing, developed and transitional economies is presented. But, although theory can identify a range of possible spillover channels, robust empirical support for positive spillovers is hard to find.Abstract:
Many governments offer significant inducements to attract inward investment, motivated by the expectation of spillover benefits. This paper begins by reviewing possible sources of spillovers. It then provides a comprehensive evaluation of the empirical evidence on productivity, wages and exports spillovers in developing, developed and transitional economies. Although theory can identify a range of possible spillover channels, robust empirical support for positive spillovers is hard to find. The reasons for this are explored and the paper concludes with a review of policy aspects.read more
Citations
More filters
Journal ArticleDOI
Barriers to Competition and Productivity: Evidence from India
TL;DR: In this article, the impact of two reforms (initiated in 1991) aimed at increasing product market competition in India, namely liberalization of foreign direct investment (FDI) and reduction in tariff rates, was studied.
Journal ArticleDOI
Direct and Indirect Effects of FDI in Emerging European Markets: A Survey and Meta-analysis
TL;DR: In this article, a large body of literature dealing with the effects of Foreign Direct Investment (FDI) on economies during their transformation from a command economic system toward a market system is reviewed.
Journal ArticleDOI
Foreign Direct Investment and Export Spillovers: Evidence from Vietnam
TL;DR: In this paper, the authors examined whether the presence of foreign firms influences the decision of domestic firms to export or not, and whether foreign firms influence the intensity of exports by domestic firms.
Journal ArticleDOI
The more the better? Foreign ownership and corporate performance in China
TL;DR: This article examined the relationship between the degree of foreign ownership and performance of recipient firms, using a panel of 21,582 Chinese firms over the period 2000-2005, and found that joint-ventures perform better than wholly foreign-owned and purely domestic firms.
Journal ArticleDOI
Externalities of openness in innovation
TL;DR: In this paper, the authors explore the potential for wider benefits from openness in innovation and argue that openness may itself generate positive externalities by enabling improved knowledge diffusion and suggest that these externality effects are unlikely to work through their effect on the spread of open innovation practices.
References
More filters
Posted Content
A sensitivity analysis of cross-country growth regressions
Robert A. Levine,David Renelt +1 more
TL;DR: In this article, the authors study whether the conclusions from existing studies are robust or fragile when small changes in the list of independent variables occur, and they find that although "policy"appears to be importantly related to growth, there is no strong independent relationship between growth and almost every existing policy indicator.
Posted Content
A sensitivity analysis of cross-country growth regressions
Robert A. Levine,David Renelt +1 more
TL;DR: The authors examined whether the conclusions from existing studies are robust or fragile to small changes in the conditioning information set and found a positive, robust correlation between growth and the share of investment in GDP and between investment share and the ratio of international trade to GDP.
Journal ArticleDOI
How does foreign direct investment affect economic growth
TL;DR: In this article, the effect of FDI on economic growth in a cross-country regression framework was investigated. And they found that FDI contributes to economic growth only when a sufficient absorptive capability of the advanced technologies is available in the host economy.
Posted Content
Multinational Enterprise and Economic Analysis
TL;DR: The third edition of Multinational Enterprise and Economic Analysis surveys the contributions that economic analysis has made to our understanding of why multinational enterprises exist and what consequences they have for the workings of the national and international economies.
Posted Content
Does Foreign Direct Investment Increase the Productivity of Domestic Firms? In Search of Spillovers Through Backward Linkages
TL;DR: In this paper, the authors studied the impact of trade and foreign direct investment on the productivity of domestic firms in the manufacturing sector in the country of Lithuania and found that a 10 percent increase in the foreign presence in downstream sectors is associated with a 0.38 percent rise in output of each domestic firm in the supplying industry.
Related Papers (5)
Much ado about nothing? do domestic firms really benefit from foreign direct investment?
Holger Görg,David Greenaway +1 more
Do Domestic Firms Benefit from Direct Foreign Investment? Evidence from Venezuela
Brian J. Aitken,Ann Harrison +1 more