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We establish that domestically owned firms in two alternative models of emerging market economies, the Czech Republic and Russia, have not been converging to the technological frontier set by foreign owned firms. In both countries, the distance of domestic firms to the frontier grew (in all...
Persistent link: https://www.econbiz.de/10005791421
This paper analyses decisions regarding the location of headquarters in the US for the period 1996-2001. Using a unique firm-level database of about 30,000 US headquarters, we study the firm- and location-specific characteristics of headquarters that relocated over that period. Headquarters are...
Persistent link: https://www.econbiz.de/10005791881
movement. We develop a model in which the optimal choice of financing an international investment trades off the relative costs … and benefits associated with the allocation and effectiveness of control rights resulting from the financing decision. We … find that the financing choice is driven by managerial incentive problems and that FDI involves an international capital …
Persistent link: https://www.econbiz.de/10005791956
Economic development implies that the efficiency of firms in developing countries is approaching that of firms in advanced economies. We examine the extent of this convergence in the Czech Republic and Russia, economies that represent alternative models of implementing development policies,...
Persistent link: https://www.econbiz.de/10005792168
This paper presents a simple model of the interaction between two firms, based in different countries, each of which faces the export v MNE choice concerning the serving of each other’s home market. The basic game structure is similar to that elsewhere in the literature (Horstmann & Markusen...
Persistent link: https://www.econbiz.de/10005662223
This paper analyzes the effects of a potential spillover on technology transfer of a multinational enterprise and on the host country policy. In particular, we examine how both parties’ incentives can be controlled through the ownership structure in an international joint venture. In contrast...
Persistent link: https://www.econbiz.de/10005504408
Multinational enterprises are able to improve their disagreement profits by setting up foreign production facilities, with adverse consequences for negotiated wages and union utilities. In this paper, we take a new angle at this issue and analyze whether unions can improve their situation by...
Persistent link: https://www.econbiz.de/10011083484
This paper examines two broad issues related to foreign investment by Swedish multinational corporations (MNCs): first, the effects of outward foreign direct investment on domestic investment, exports and employment, and second, the effects on the domestic economy from the increasing division of...
Persistent link: https://www.econbiz.de/10005666957
This Paper examines the relationship between foreign ownership and productivity, paying particular attention to two issues neglected in the existing literature – the role of multinationals in service sectors and the importance of R&D activity conducted by foreign multinationals. We review...
Persistent link: https://www.econbiz.de/10005124197
This paper examines spillover effects of the activities of multinational firms (MNCs). Such effects are most likely to be found in host countries, where the operations of foreign multinationals may influence local firms in the MNC’s own industry as well as firms in other industries. There is...
Persistent link: https://www.econbiz.de/10005497921