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This paper examines how inward and outward foreign direct investment (FDI) have influenced the restructuring of the Japanese economy and can be expected to continue to do so in the future. We find that outward investment has helped Japanese firms to sustain foreign market shares and contributed...
Persistent link: https://www.econbiz.de/10012471068
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 …
Persistent link: https://www.econbiz.de/10012471148
Promotion of inward foreign direct investment (FDI) into Japan has been an important policy in the Abenomics growth … stock for Japan. Although the actual inward FDI stock has been growing and is likely to achieve the goal of 35 trillion yen … suggested by the estimated model. We also estimate the model without Japan as a destination country and use the estimated model …
Persistent link: https://www.econbiz.de/10012479632
Moreover, we find that there is no positive impact on target firms' profitability in the case of both within-group in-in acquisitions and in-in acquisitions by domestic outsiders. In fact, in the manufacturing sector, the return on assets even deteriorated one year and two years after...
Persistent link: https://www.econbiz.de/10012466243
We investigate whether productivity differences explain why some manufacturers sell only to the domestic market while others serve foreign markets through exports and/or FDI. When overseas production offers no cost advantages, our model predicts that investors should be more productive than...
Persistent link: https://www.econbiz.de/10012468642
We show that industrial ownership structures, such as keiretsu groupings in Japan, may significantly impact firms …
Persistent link: https://www.econbiz.de/10012470685
Recent empirical work has examined the extent to which international trade fosters international spillovers' of technological information. FDI is an alternate, potentially equally important channel for the mediation of such knowledge spillovers. I introduce a framework for measuring...
Persistent link: https://www.econbiz.de/10012470716
The relative wealth hypothesis of Froot and Stein (1991), motivated by the aggregate correlation between real exchange rates and foreign direct investment (FDI) observed in the 1980s, cannot explain one of the major shifts in FDI in the 1990s: the continued decline in Japanese FDI during a...
Persistent link: https://www.econbiz.de/10012470898
countries with whom Japan has agreements are entitled to claim foreign tax credits for income taxes that they would have paid to … investment patterns reveal that the volume of Japanese FDI located in countries with whom Japan has than what it would have been … whom Japan has agreements. Similar patters appear when with the United Kingdom are used as instruments for Japanese sparing …
Persistent link: https://www.econbiz.de/10012472085
Japan suggests that foreign firms sell five to six times more in Japan than is commonly believed. Previous studies severely … underestimated the stock of FDI in Japan due to poor data. Second, after finding that even after adjusting for various factors the … level of FDI in Japan is still low, the paper explores explanations for this phenomenon. A second main conclusion is that …
Persistent link: https://www.econbiz.de/10012473233