Foreign Direct Investment (FDI) embodying capital and technology or some intangible advantage is the act of establishing or acquiring a foreign subsidiary over which the investing company has extensive management control. The question to be answered is: What is the impact of Intellectual...

This paper examines the effect of foreign direct investment (FDI) on domestic innovation based on a data set covering the pharmaceutical industries across 29 provinces in the People's Republic of China (PRC) over the period 1998-2007. We show that there is a negative horizontal spillover effect...

Intellectual Property Rights (IPR) protect firms from imitation and are considered crucial to promote innovation and technological diffusion. This paper examines the impact of IPR on import sourcing decisions of multinationals. We consider a framework in which firms offshore production of an...