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We explore the effect of foreign direct investment on economic growth in developing countries, distinguishing between mergers and acquisitions ("M&As") and "greenfield" investment. A simple model captures the key difference between the two types of FDI: unlike greenfield investment, M&As partly...
Persistent link: https://www.econbiz.de/10011430093
Ever since India decided to globalize, concentrated effort was made to attract Japanese participation through foreign direct investment. However, response from Japan has been rather subdued. This paper attempts to gain some insight into this reluctance of Japanese investors by studying the...
Persistent link: https://www.econbiz.de/10011807649
Does FDI affect productivity growth, innovation, and knowledge sourcing activities ofdomestic firms? This study employs … local incumbents’ TFP and labour productivitygrowth in the short term. The effect on productivity does not depend on the … local firms’distance to the productivity frontier. However, there are positive spillovers on processinnovation. The results …
Persistent link: https://www.econbiz.de/10009360488
We review a large body of literature dealing with the effects of Foreign Direct Investment(FDI) on economies during their transformation from a command economic systemtoward a market system. We report the results of a meta-analysis based on the literatureon externalities from FDI. The studies on...
Persistent link: https://www.econbiz.de/10009360490
The slow progress and modest achievements of regional integration in South Asia have generated a huge amount of skepticism about its role as an effective strategy of growth. The present study, however, argues that there is need to forge deeper integration within the region. It examines the...
Persistent link: https://www.econbiz.de/10011807624
The comparison of the key features of trade integration processes and the economic outcomes in China and India reveals that while much has already been achieved in both these economies, the Chinese reforms, especially with respect to manufacturing trade, have gone further and that this is likely...
Persistent link: https://www.econbiz.de/10011807627
Over the years FDI activities from developing countries have grown very rapidly and most of these investments end up in other developing countries. Such FDI flows are formally known as South-South FDI. This paper attempts to compare the characteristics of South-South FDI versus North-South FDI...
Persistent link: https://www.econbiz.de/10011807644
or sector, it is their productivity advantage on the local firm to determine the positive effect on domestic productivity … significant and robust Veblen-Gerschenkrion effect. The initial total factor productivity advantage of MNEs on local firm acts as … a stimulus for productivity growth of local firms in the same region. …
Persistent link: https://www.econbiz.de/10010276891
The purpose of this paper is to investigate empirically the importance of labor market conditions and in particular of employment protection legislation as a determinant of bilateral Foreign Direct Investment flows to seven Central and Eastern European countries. Although our results indicate...
Persistent link: https://www.econbiz.de/10010294560
Using distance and time zone differences as a measure for coordination costs between service suppliers and consumers, we employ a Hausman- Taylor model for services trade by foreign affiliates. Given the need for proximity in the provision of services, factors like distance place a higher cost...
Persistent link: https://www.econbiz.de/10010294921