This work examines the main theoretical and empirical interpretations of the effects of FDI on the productivity of local firms and, in particular, the way in which productivity spillovers are related to regional differences. In studying the Italian manufacturing sector, using cross-sectional...

Foreign direct investment (FDI) from Multinational Enterprises (MNEs) can generate positive externalities to host countries, increasing domestic firms' productivity. Recently, the attention of researchers has moved from the analysis of ''horizontal'' spillovers – i.e. those benefits to local...

Taking into consideration the Italian manufacturing sector, the main purpose of this paper is to test some predictions arising from models with monopolistic competitive market. In particular, we want to investigate the two following issues. First, to what extent intra-industry trade and...

According to the main economic literature, foreign direct investment (FDI) from Multinational Enterprises (MNEs) can generate positive externalities to host countries, increasing the domestic firms productivity. Recently, the attention of researchers has moved from the analysis of ''horizontal''...

Economic interactions among high-income developed countries are characterized by high degrees of both intra-industry trade and intra-industry affiliate production and sales. Similar high-income countries both heavily trade with and invest into each other. This paper examines the determinants of...

Using a cross-country analysis, this paper examines the determinants of the Italian intra-industry trade in vertically differentiated products. By considering the degree of specialization by quality within industries, we found that Italys IIT in low-quality products is higher the lower the...