This study aims to shed light on the knowledge transfer effects of Chinese investment in Africa’s manufacturing sector with a concrete case study of Ethiopia. As of January 2015, 117 firms were registered with the Chinese Ministry of Commerce (MOFCOM) as investing in Ethiopia, reporting to...

Using a typical linear model on a sample of listed firms in China over a period of 10 years (2006–2016), this study empirically attempts proving how peer effects influence corporate research and development (R&D) investment decision. The study goes further to demonstrate that peer effects play...

The initial portion of this paper examines in parallel the modern history of China's foreign investment regime and the developmental and economic priorities that have influenced the three-plus decades these laws have been in effect. The second portion characterizes China's investment review...

We estimate the impact of investment tax credit on firm fixed investment, using China's 2004 value-added tax reform pilot that introduces a permanent 17%-tax credit for fixed investment in six industries in the Northeastern region. The tax credit raises significantly fixed investment of eligible...

We analyze the spillover effect of fixed asset investment incentive on firm innovation by estimating the influence of China's value-added tax reform in 2004 with a difference-in-difference-in-differences (DDD) approach. We find that fixed asset investment incentive significantly reduces firm...

China's emergence has raised pointed questions about the future of manufacturing in Latin America. Once saw as its economic future, the viability of this activity in the region has long been challenged by traditional trade theory and, in practical terms, by at least three generations of Asian...

A number of studies have recently explored China’s growing - yet still nascent - manufacturing investments in sub-Saharan Africa, which the World Bank hopes to see further expanded so as to ignite industrialization. These studies have looked mainly at the Africa-side situation (i.e., what is...

This paper investigates how financial constraints affect a firm's decision on whether to conduct product innovation. Theoretically, we show that a firm's optimal decision on product innovation is a function of its past decision, financial constraints and a set of control variables. Through...