Nishiyama, Hiroyuki; Yamaguchi, Masao - In: International Economic Journal 24 (2010) 1, pp. 45-52
This paper examines the effect of foreign direct investment (FDI) on home wages by using a model assuming that two complementary intermediate goods are combined into a final product by an international/domestic division of labour. We find that FDI triggers higher (lower) home wages in the case...