A particularly serious problem of measurement is the growing transfer of intangible US corporate assets to foreign affiliates of US firms, some of which use virtually no foreign factors of production. These transfers, mainly for tax saving purposes, give rise to phantom flows of services from...

Fears that production abroad would cause home country exports and employment to fall have not been confirmed by evidence. Multinational operations have led to a shift by parent firms in the United States toward more capital- intensive and skill- intensive domestic production. However, that type...

The concept and measurement of foreign direct investment have changed over time, and what is measured by balance of payments flows and stocks is quite different from what is implied by theories of direct investment. The industrial distribution of stocks of FDI, the most widely available measure,...

In each of three financial and exchange rate crises, Latin America in 1982, Mexico in 1994, and East Asia in 1997, direct investment inflows into the affected countries have behaved differently from other forms of investment, and U.S. manufacturing affiliates have behaved differently from other...

Market size and growth rates, per capita income, distance from the United States, and tax rates on U.S. affiliates accounted for about half the variation among developing host countries in most aspects of U.S. FDI activity. Residuals from the equations for one period add greatly to the...

Internationalized production, that is, production in a country controlled by firms based in another country, grew from about 4.5% of world output in 1970 to over 7% in 1995. The importance of internationalized output fell substantially in developing countries until around 1990 but has been been...

Network connections within MNCs seem to improve export market shares for Asian affiliates of those MNCs. In particular, Asian affiliates of U.S. MNCs export more to markets where their parent firms' exports to affiliates are larger, and less to markets where their parent firms export more to...

Foreign-owned establishments in the United States pay higher wages, on average, than domestically-owned establishments. The foreign-owned establishments tend to be in higher-wage industries and also to pay higher wages within industries. They tend to locate in lower-wage states, but to pay more...

This paper reviews the main developments in U.S. trade and the balance of payments from the first years of the 19th century to the first decade of the 20th. American export trade was dominated by agricultural and other resource products long after the majority of the labor force had shifted out...

Investment in production outside the United States is a method by which U.S. firms raise their shares in foreign markets and defend them against foreign rivals from the host countries and from other countries. The investing firms are exploiting their firm-specific assets such as proprietary...