Liu, Xuepeng; Lovely, Mary E; Ondrich, Jan - In: The Review of Economics and Statistics 92 (2010) 1, pp. 160-166
There is almost no support for the proposition that capital is attracted to low wages from firm-level studies. We examine the location choices of 2,884 firms investing in China between 1993 and 1996 to offer two main contributions. First, we find that the location of labor-intensive activities...