The paper explores the linkages between political risk, institutions and foreign direct investment inflows. Using different econometric techniques for a data sample of 83 developing countries and the period 1984 to 2003, we identify those indicators that matter most for the activities of...

The tradition of gravity models is in the analysis of trade flows with market size and geographic or economic distance as core variables. Both these variables can be important determinants of FDI, too. However, when such models are used to explain FDI, there can be differences in the mode of...

Many believe that multinational enterprises insensitively ignore political rights and civil liberties in the countries of their investments. Frequently, non-governmental organisations accuse multinationals of fostering repressive regimes in developing countries and consider foreign direct...

In this paper, we investigate internationalization strategies of German manufacturing firms in the European Union. We give reasons for the hypothesis that traditional market strategies had been replaced by border-crossing production networking based on the comparative advantage of host countries...

This paper presents the first empirical test with German establishment level data of a hypothesis derived by Helpman, Melitz and Yeaple in a model that explains the decision of heterogeneous firms to serve foreign markets either trough exports or foreign direct investment: only the more...

Using a knowledge production framework and a rich set of plant level data this study demonstrates that in Germany firms that are active on international markets as exporters or foreign direct investors do generate more new knowledge than firms which sell on the national market only. These...

The paper empirically explores the international economic effects of gender discrimination, namely the linkages of gender inequality with comparative advantage (trade) and foreign direct investment flows. It discusses different forms and the extent of gender discrimination across countries and...

Compared to other Western European countries, Germany was less successful in attracting FDI in the 1990s. The falling behind in inward-FDI should be no problem if foreign-owned firms (FoFs) were only substitutes for indigenous firms. However, to the extent they differ significantly in terms of...

This study examines performance gaps among foreign-owned and domestically- owned Austrian firms. In line with earlier findings our results suggest that the positive effects of participating in a foreign multinational?s network can mainly be found in productivity and profitability. A further...

This paper uses a dataset on the foreign activities by Swedish manufacturing firms to examine the performance of German affiliates compared with affiliates in other locations. It is found that German affiliates, on average, have higher labour productivity, R&D expenditure per employee and...