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This paper relates to the literature on pecuniary externalities from FDI. Their transmission mechanism is complex … exploited. As a result, all the potential effects of FDI on firm productivity remain to explain. We contribute to the literature …
Persistent link: https://www.econbiz.de/10011932597
We develop and analyze an entry model that predicts that the likelihood that foreign firms enter a country increases with the productivity gap between foreign and domestic firms. The intuition is that foreign firms locate where their competitive advantage is highest and thus enter countries...
Persistent link: https://www.econbiz.de/10012725297
Recent evidences show the co-existence of lower trade cost and higher amount of foreign direct investment (FDI), which … country markets are important to the foreign firm, lower trade cost may increase FDI if the foreign and the host country firms … differ in technologies. Whether lower trade cost increases welfare is ambiguous, and depends on its effects on FDI. We also …
Persistent link: https://www.econbiz.de/10014055480
Persistent link: https://www.econbiz.de/10013261099
We consider two channels via which foreign inputs into industrial production may lead to productivity effects. The first one concerns dynamic externalities between firms which share technical and organizational knowledge which is vital for the productivity growth of a particular industry. We...
Persistent link: https://www.econbiz.de/10011472478
This paper analyzes a stylized model of international capital mobility and diffusion of embodied technologies from North to South. The South can fall behind in terms of technologies or get trapped in a situation, in which it is unable to attract foreign capital and embodied technologies, if its...
Persistent link: https://www.econbiz.de/10003795826
optimal development policy requires FDI to be matched by investment into the absorptive capacity. -- Technology diffusion …
Persistent link: https://www.econbiz.de/10003795829
Focusing on technology spillover from foreign direct investment (FDI) inflows, this paper investigates the welfare … that when technology catch-up due to FDI inflows is considered, the welfare gains from financial integration substantially …
Persistent link: https://www.econbiz.de/10010529709
This paper investigates the geographic extent of foreign direct investment (FDI) technology spillovers and diffusion in … spatial dimensions of FDI spillovers. Our empirical results show that FDI presence (measured as employment share) in a … positive FDI spillovers through interregional technology diffusion via labor market channels; these interregional spillovers …
Persistent link: https://www.econbiz.de/10010241544
of foreign direct investment (FDI), considering that the latter is an international technology diffusion channel …. Although FDI appears to be an important channel in the diffusion of technology models theoretically, empirical evidence related … to the effect of FDI on growth is ambiguous. By applying the approach of Ben-David (1996), which focuses on convergence …
Persistent link: https://www.econbiz.de/10010251655