While quantifying the foreign ownership premium has received a lot of attention in the empirical literature, there is only little known about productivity variations between foreign affiliates of multinational firms. In order to enhance the understanding of the economic causes of this...

The majority of the literature related to Amartya Sen´s Capability Approach (CA) has been devoted to questions of development and developing countries. In this paper, however, with a theoretical concept and first empirical results at hand, we shed some light on Sen´s argument that the CA is...

In this paper we analyze the microeconomic determinants and effects of FDI using data on a representative sample of establishments in the German south-west region of Baden-Württem¬berg. With 11 million inhabitants, Baden-Württemberg exceeds the size of Sweden or Belgium. Furhter we discuss...

The Capability Approach has been adopted as a theoretical framework for official Poverty and Wealth Reports by the German government. For the first time, this paper provides information on the use of the Capability Approach in this reporting process to international readers. We show the...

Exporters and multinationals are larger and more productive than their domestic counterparts. In addition to productivity, financial constraints and labor market constraints might constitute barriers to entry into foreign markets. We present new empirical evidence on the extensive and intensive...

FDI is an important channel for productivity spillovers across economies. But productivity and employment effects of cross-border mergers and acquisitions (M&A) on multinational firms are rather unclear and much disputed. We empirically analyze the effects of cross-border M&A on the performance...

This study provides evidence on how German multinational firms restructured their service activities during the last decade. Making use of new micro-level data on service imports of German multinationals from 2002-2008, we assess the determinants of service offshoring along the extensive and...

This study assesses the determinants of location choices of foreign multinational firms at the level of German federal states. Adjacency and existing firm networks are assumed to influence the investors' profits in a given location by overcoming informational disadvantages when entering the new...

Sowohl beim Außenhandel wie auch bei den Direktinvestitionen weisen insbesondere große und nahe gelegene Bundesländer eine starke Verflechtung mit Österreich auf, wobei traditionelle Sektoren wie der Maschinen- und Kraftwagenbau im Außenhandel noch immer eine dominante Position einnehmen....

In this paper we claim that distance alone is a poor proxy for international transport costs in empirical studies. We model a manufacturing and a transport sector and let the level of manufacturing exports determine the demand for transport services. Above a particular trade level, transport...