Download or read book The Spillover Effects of Foreign Direct Investment FDI Inflow on the Productivity of Domestic Firms written by Ermias Shewangizaw Getachew and published by . This book was released on 2013 with total page 44 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Foreign Direct Investment in China written by Ziliang Deng and published by Routledge. This book was released on 2013-03-01 with total page 289 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book provides an insightful exploration of whether foreign direct investment (FDI) can promote the productivity of domestic enterprises. The book is based on a series of dedicated research conducted in the context of the Chinese economy, which has been the largest FDI host among the developing economies since 1993. The main themes of this book are (a) based on the latest literature and first-hand research, outlining possible mechanisms through which foreign direct investment could promote the productivity of domestic enterprises; (b) developing a comprehensive research framework to quantify the spillover effects with cutting-edge methodology; (c) constructing a decision support system for evaluating FDI policy reforms with advanced computer simulation techniques; (d) evaluating the broader impact of FDI spillovers on banking system and trade pattern. The book examines topical economic issues in the contemporary world economy from innovative perspectives, namely, how the presence of multinational enterprises has been one of the most important microeconomic drivers for the Chinese economy, how foreign banks have helped to enable Chinese banking system survive the global financial crisis, and how the domestic enterprises have learned to do exports from multinational affiliates and have changed the landscape of U.S.-Asian trade. The book incorporates the latest development of economic theory as well as computational economics model.
Download or read book Productivity Spillovers from Foreign Direct Investment written by Aysa Erdogan and published by . This book was released on 2015 with total page 16 pages. Available in PDF, EPUB and Kindle. Book excerpt: Attracting foreign direct investment (FDI) is considered as an important source of sustainable development, income growth and employment for developing countries. Foreign-owned firms are believed to have the potential to benefit the domestic firms by the spillover of their technological know-how, innovation capability, and marketing and management skills. These spillovers are expected to result in an increase in the productivity of the domestic firms. This paper reviews the empirical literature on spillovers from FDI. Studies have found conflicting evidence on the spillover effects. While some of the studies find that there exist positive spillovers from foreign-owned firms, some others find no spillover effects. A considerable number of studies find that productivity spillovers from FDI are dependent on the absorptive capacity of the domestic firms and technical proximity of foreign-owned firms and domestically-owned firms.
Download or read book DOES FOREIGN DIRECT INVESTMENT INCREASE THE PRODUCTIVITY OF DOMESTIC FIRMS written by BEATA K. SAMARZYNSKA and published by . This book was released on 2003 with total page 31 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Firm Heterogeneity and FDI Related Productivity Spillovers written by Sajid Anwar and published by . This book was released on 2018 with total page 17 pages. Available in PDF, EPUB and Kindle. Book excerpt: A number of existing empirical studies have attempted to estimate the foreign direct investment-related productivity spillover effects to domestic firms in host economies using various methodologies and measures of FDI. This literature has produced mixed results. While some studies found positive spillovers, others reported zero or even negative spillovers. In this paper, using a model of firm heterogeneity, we provide a rigorous theoretical justification for the mixed findings. We show that FDI-related productivity spillover effects can be decomposed into a direct and an indirect effect. If the direct effect is positive then relatively less capable domestic firms that were not able to survive in the industry (before the arrival of foreign firms) can enter the industry, which decreases the average (expected) productivity of the industry. If this indirect effect is sufficiently strong then the overall impact of FDI on productivity of domestic firms can be zero or negative. Hence, irrespective of the type of FDI (vertical or horizontal) and control variables included in empirical models, one may find negative or zero spillover effects.
Download or read book Foreign Direct Investment And Small And Medium Enterprises Productivity And Access To Finance written by Khee Giap Tan and published by World Scientific. This book was released on 2015-03-25 with total page 168 pages. Available in PDF, EPUB and Kindle. Book excerpt: There is a large literature dealing with the spillover effects of foreign direct investment (FDI) flows to emerging and developing economies at the aggregate level. Beyond the aggregate impacts, a growing number of studies also examine the impact of FDI spillovers on firms of different sizes, especially small and medium enterprises (SME). This book is dedicated to exploring issues relating to the various interactions between FDI flows, productivity spillovers and SMEs in Asia and beyond. It studies globalization, FDI, and regional innovation in China, and trade and investment liberalization in India. It analyses how to promote SMEs and enhance labor productivity in Singapore. It investigates the impact of intellectual property rights processes on productivity growth. It documents the use of finance and financing patterns of informal firms. It uses empirical analysis to point out the limitations of traditional banks lending to SMEs and suggests possible policy approaches facilitating them to access growth capital. It also provides an empirical investigation of the main determinants of entrepreneurial activities.
Download or read book DOES IT MATTER WHERE YOU COME FROM Vertical Spillovers from Foreign Direct Investment and the Nationality of Investors written by Kamal Saggi, Beata K. Smarzynska Javorcik and published by World Bank Publications. This book was released on 2004 with total page 22 pages. Available in PDF, EPUB and Kindle. Book excerpt: "Javorcik, Saggi, and Spatareanu use a firm-level panel data set from Romania to examine whether the nationality of foreign investors affects the degree of vertical spillovers from foreign direct investment. Investors' country of origin may matter for spillovers to domestic producers in upstream sectors (supplying intermediate inputs) in two ways. First, the share of intermediate inputs sourced by multinationals from a host country is likely to increase with the distance between the host and the source economy. Second, the sourcing pattern is likely to be affected by preferential trade agreements that cover some but not other source economies. In this case, the Association Agreement signed between Romania and the European Union (EU) implies that inputs sourced from the EU are subject to a lower tariff than inputs sourced from America or Asia. Moreover, while for European investors intermediate inputs sourced from home country suppliers comply with the rules of origin and thus can be exported to the EU on preferential terms, this would not be the case for home country suppliers of American or Asian multinationals. Therefore, one would expect that American and Asian investors source more from Romania than EU investors and thus present greater potential for vertical spillovers. The empirical analysis produces evidence in support of the authors' hypothesis. They find a positive association between the presence of.
Download or read book Does Foreign Direct Investment Increase the Productivity of Domestic Firms In Search of Spillovers Through Backward Linkages written by Beata Smarzynska Javorcik and published by . This book was released on 2015 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: Many countries strive to attract foreign direct investment (FDI) hoping that knowledge brought by multinationals will spill over to domestic industries and increase their productivity. In contrast with earlier literature that failed to find positive intraindustry spillovers from FDI, this study focuses on effects operating across industries. The analysis, based on firm-level data from Lithuania, produces evidence consistent with positive productivity spillovers from FDI taking place through contacts between foreign affiliates and their local suppliers in upstream sectors. The data indicate that spillovers are associated with projects with shared domestic and foreign ownership but not with fully owned foreign investments.
Download or read book The Effects of Foreign Direct Investment on Domestic Firms written by Jozef Konings and published by . This book was released on 2000 with total page 40 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Spillover Effects of Foreign Direct Investment written by ANM Moinul Islam and published by . This book was released on 2009 with total page 65 pages. Available in PDF, EPUB and Kindle. Book excerpt: This dissertation studies the possible R&D spillover effects of Foreign Direct Investment (FDI) on domestic firms. In particular, it studies how competition with foreign firms (or, multinational enterprises (MNEs)) can induce domestic firms to spend more on cost-reducing R&D, under two different scenarios. It examines this issue both theoretically and empirically. In the theoretical analysis, a cournot oligoplistic market structure is considered. Chapter 1 reviews the existing literature on spillover effects of Foreign Direct Investment. In chapter 2, a single domestic firm is considered. In chapter 3, free entry and exit of the domestic firms are considered whereas the number of foreign firms is still considered exogenous. Chapter 4 investigates the issue empirically, using cross country data for 72 countries for eight years. The overall findings are, the FDI generally increases R&D in a country and real rate of interest has negative association with the R&D.
Download or read book Foreign Direct Investment and Spillover Effects on Domestic Firms written by Brian G. Wenrich and published by . This book was released on 2012 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: The literature concerning foreign direct investment and the spillover effects on domestic firms has developed significantly over the past two decades. This report examines the historical data on foreign direct investment flows and identifies several different types of spillover effects. Earlier studies identify potential horizontal spillovers but later studies suggest that these spillovers are insignificant. Recently, vertical spillovers, especially through backward linkages, have been identified as occurring in the host country. Studies indicate that this is happening particularly in the manufacturing sector for firms relying on inputs from the services sectors that have higher levels of foreign direct investment.
Download or read book The Effect of Foreign Direct Investment on Labour Productivity written by Priit Vahter and published by . This book was released on 2004 with total page 60 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Does Inward Foreign Direct Investment Boost the Productivity of Domestic Firms written by Jonathan Haskel and published by . This book was released on 2002 with total page 52 pages. Available in PDF, EPUB and Kindle. Book excerpt: Are there productivity spillovers from FDI to domestic firms, and, if so, how much should host countries be willing to pay to attract FDI? To examine these questions we use a plant-level panel covering U.K. manufacturing from 1973 through 1992. Across a wide range of specifications, we estimate a significantly positive correlation between a domestic plant's TFP and the foreign-affiliate share of activity in that plant's industry. This is consistent with positive FDI spillovers. We do not generally find significant effects on plant TFP of the foreign-affiliate share of activity in that plant's region. Typical estimates suggest that a 10 percentage-point increase in foreign presence in a U.K. industry raises the TFP of that industry's domestic plants by about 0.5 percent. We also use these estimates to calculate the per-job value of these spillovers. These calculated values appear to be less than per-job incentives governments have granted in recent high-profile cases, in some cases several times less.
Download or read book Foreign Direct Investment Spillovers and Absorptive Capacity written by Sourafel Girma and published by . This book was released on 2016 with total page 40 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper focuses on the role of absorptive capacity in determining whether or not domestic firms benefit from productivity spillovers from FDI using establishment level data for the UK. We allow for different effects of FDI on establishments located at different quantiles of the productivity distribution by using conditional quantile regression. Overall, while there is some heterogeneity in results across sectors and quantiles, our findings clearly suggest that absorptive capacity matters for productivity spillover benefits. We find evidence for a u-shaped relationship between productivity growth and FDI interacted with absorptive capacity. We also analyse in some detail the impact of changes in absorptive capacity on establishments' ability to benefit from spillovers.
Download or read book Technological Spillovers from Foreign Direct Investment written by Emma Xiaoqin Fan and published by . This book was released on 2002 with total page 50 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Foreign Direct Investment A Review of the Determinants and Economic Effects written by Antonia Haberger and published by GRIN Verlag. This book was released on 2020-08-04 with total page 72 pages. Available in PDF, EPUB and Kindle. Book excerpt: Bachelor Thesis from the year 2019 in the subject Business economics - Investment and Finance, grade: 1,3, LMU Munich (Institut für marktorientierte Unternehmensführung), language: English, abstract: Both the drivers and effects of foreign direct investment (FDI) are complex and multifaceted. This thesis provides a conceptual overview of a selection of the most frequently considered drivers and economic effects of FDI in literature. The overview aims to support host countries in providing targeted incentives to attract FDI by raising the awareness of controllable drivers. Drivers for selecting a specific host country are presented hierarchically according to their controllability by the host country. The governance infrastructure as a driver, for instance, is easier to control by the target country than market characteristics, cultural distance, or resource endowments. This thesis discusses the drivers according to their decreasing controllability, starting with political factors, followed by economic, social, and cultural, as well as geographical factors. The reasons why these factors may attract FDI are outlined in the respective subsections. Moreover, this overview presents the economic effects of FDI on the host country. These effects include increased competition or spillover effects from foreign to local companies. The composition of direct and indirect effects leads to the conclusion that all these effects impact economic growth, which represents both a driver and an effect of FDI simultaneously. Thus, this thesis refers to the dependencies between drivers and effects with their interrelated factor economic growth. Further, it is argued that the effects of FDI are significantly interdependent among each other. Therefore, the realization of specific effects, such as economic growth, strongly depends on conditions and specific characteristics, such as the particular threshold level of human capital in the host country.
Download or read book How Does Foreign Direct Investment Affect Economic Growth written by Mr.Eduardo Borensztein and published by International Monetary Fund. This book was released on 1994-09-01 with total page 26 pages. Available in PDF, EPUB and Kindle. Book excerpt: We test the effect of foreign direct investment (FDI) on economic growth in a cross-country regression framework, utilizing data on FDI flows from industrial countries to 69 developing countries over the last two decades. Our results suggest that FDI is an important vehicle for the transfer of technology, contributing relatively more to growth than domestic investment. However, the higher productivity of FDI holds only when the host country has a minimum threshold stock of human capital. In addition, FDI has the effect of increasing total investment in the economy more than one for one, which suggests the predominance of complementarity effects with domestic firms.
