This book gets to the root of how and why multinational firms differ in the cross-border creation, transfer and diffusion of technology, and provides fresh evidence on the effects that these differences have on productivity and innovation in the economic systems in which they are active

Recent empirical works on the within-sector impact of inward investments on domestic firms' productivity have found rather robust evidence of no (or even negative) effects. This paper argues that a specification error might characterise those studies. In fact, measuring foreign presence as the...