A method for analyzing productivity convergence based on frontier production functions is proposed. It is examined … whether departures from the frontier - country-level inefficiencies - exhibit long-run relationships and convergence. The … method is applied to 1-digit industries of 14 OECD countries from 1970 - 90. Results suggests that comovements in efficiency …

This paper studies why multinational firms often share ownership of a foreign affiliate with a local partner even in … the absence of government restrictions on ownership. We show that shared ownership may arise, if (i) the partner owns …. In this context shared ownership acts as a screening device. Our model predicts that the multinational?s ownership share …