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model of multinational firms facing real and financial barriers to foreign direct investment (FDI), and we analyze their … impact on the FDI decision (the extensive margin) and foreign affiliate sales (the intensive margin). We provide empirical …
Persistent link: https://www.econbiz.de/10003884917
This paper investigates the role of corporate taxation with respect to a multinational's investment decision, in which the multinational can pursue either a direct or an indirect investment strategy. The latter involves at least three corporate entities and opens up enhanced opportunities for...
Persistent link: https://www.econbiz.de/10003794353
overall affiliate sales. Although quantitatively important, this Export-Supporting FDI (ESFDI) activity has received little … attention in the literature. This paper includes ESFDI into a model of trade and horizontal FDI with heterogeneous firms. ESFDI … is characterized by export-supporting distribution and service activities in the foreign market while production remains …
Persistent link: https://www.econbiz.de/10003870817
FDI ; Service FDI …
Persistent link: https://www.econbiz.de/10009424925
domestic market, better performers engage in export activities, and the top firms establish foreign subsidiaries. Using German …
Persistent link: https://www.econbiz.de/10003275970
inward FDI stocks. For a panel of five advanced economies from 1980 to 2006 it is shown that price competitiveness, stable …-Saxon legislation also play a role. Financial competitiveness in turn encourages FDI inflows whereas it benefits fixed investment …
Persistent link: https://www.econbiz.de/10003794120
Multinational corporations (MNC) search increasingly for lead market knowledge and technological expertise around the globe. We investigate whether their subsidiaries gain access to these valuable sources of host country knowledge to the same degree as domestic rivals. We develop a theoretical...
Persistent link: https://www.econbiz.de/10003831958
This paper investigates how multinational firms choose the capital structure of their foreign affiliates in response to political risk. We focus on two choice variables, the leverage and the ownership structure of the foreign affiliate, and we distinguish different types of political risk, such...
Persistent link: https://www.econbiz.de/10003811124
the years 1990-2000 to describe the regional and sectoral patterns of German FDI through gravity-type equations. We … provide evidence on the patterns of FDI by sector, by size of the foreign affiliate, and by the number of affiliates per host … country. While market size and geographic distance have a significant impact on FDI stocks, we also find differences in the …
Persistent link: https://www.econbiz.de/10011432062
Persistent link: https://www.econbiz.de/10002825845