Based on matching techniques in combination with a difference-in-difference estimator, this paper estimates the effects at home of initiating production abroad through the establishment of a foreign production affiliate. The analysis covers manufacturing and service firms active in France during...

One lesson of the transformation of CEECs during the 1990s and early 2000s has been that FDI was not initially considered as a tool for boosting economic transformations in the region. Today most of these economies rely on the accumulated stocks and the annual flows of capital to develop their...