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We examine the interaction between three kinds of concentrated owners commonly found in an emerging market: family-run business groups, domestic financial institutions, and foreign financial institutions. Using data from India in the early 1990s, we find evidence that domestic international...
Persistent link: https://www.econbiz.de/10012763811
In recent years, international capital flows of all types have increased dramatically and most governments have been actively encouraging inflows of direct investment. However, concerns remain that reliance on foreign multinationals may be a risky development strategy as foreign firms are likely...
Persistent link: https://www.econbiz.de/10013224697
This paper considers the effect of taxation on the location of foreign direct investment (FDI) and taxable income …-owned foreign affiliates across ownership forms and regions. Ten percent higher tax rates are associated with 5.0 percent lower FDI … parent company and level of FDI. Tax effects are particularly strong within Europe, where ten percent higher tax rates are …
Persistent link: https://www.econbiz.de/10013239947
This paper uses a model of dichotomous choice to distinguish the characteristics of Swedish multinational firms that seek out joint ventures from those that do not. The findings suggest that firms with little experience of foreign production and highly diversified product lines are the most...
Persistent link: https://www.econbiz.de/10013244752
This paper examines the welfare effects of a tax on foreign purchases of domestic land. Using a simple static framework the paper shows that an appropriately chosen tax will generally be welfare-improving for the domestic country
Persistent link: https://www.econbiz.de/10012777147
Within Japanese multinational firms, parent exports from Japan to a foreign region are positively related to production in that region by affiliates of that parent, given the parent's home production in Japan and the region's size and income level. This relationship is similar to that found for...
Persistent link: https://www.econbiz.de/10012778835
(FDI). Plant-specific intangible capital in foreign subsidiaries is expensed abroad, lowering current profits on FDI and … increasing future profits. We develop a multicountry general equilibrium model with an essential role for FDI and apply the BEA …
Persistent link: https://www.econbiz.de/10012759325
Most international commerce is carried out by multinational firms, which use their foreign affiliates both to serve the market of the host country and to export to other markets outside the host country. In this paper, I examine the determinants of multinational firms' location and production...
Persistent link: https://www.econbiz.de/10012992631
Foreign-owned establishments in the United States pay higher wages, on average, than domestically-owned establishments. The foreign-owned establishments tend to be in higher-wage industries and also to pay higher wages within industries. They tend to locate in lower-wage states, but to pay more...
Persistent link: https://www.econbiz.de/10013222980
Models dealing with cross-border acquisitions versus greenfield investment usually assume that the entry of a foreign firm into a market has effects on the outputs of all domestic firms in that market, but exit or entry of local firms is not considered. The purpose of this paper is to re-examine...
Persistent link: https://www.econbiz.de/10013224413