Foreign Ownership and Skill-biased Technological Change

This paper investigates theoretically and empirically firm-internal skill adjustments upon acquisition by a foreign investor and adresses the following questions: i) Does a acquired firm change its demand for skill and how (via hiring or training)? ii) Why would acquired firms engage in skill upgrading? Is it driven by by a greater market scale granted by the foreign parent? iii) How do technology and skill upgrading jointly affect the productivity of acquired firms?