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between export and FDI. The model combines the proximity-concentration trade-off framework with the real option methodology … introduction of productivity growth increases the likeliness of first time market entry through FDI. If the firm is confronted with … uncertain productivity growth, market entry through FDI increases even further. Uncertainty is identified as a compounding force …
Persistent link: https://www.econbiz.de/10010266060
This paper tests some of the predictions of recent advances in trade theory that have focused on different trade patterns of firms within the same sector. Helpman, Melitz and Yeaple (2005) develop a model in which innate productivity differences between firms determine the degree of...
Persistent link: https://www.econbiz.de/10010295792
foreign direct investment choice, the export strategy can be rejected although it is dominating the FDI project and although … continuous variables on export and FDI patterns. …
Persistent link: https://www.econbiz.de/10010301792
-oriented foreign direct investment (FDI). The effects of these policies on the external accounts have been largely ignored. This paper … endogenizes FDI inflows in a structuralist general equilibrium framework to contribute towards filling this gap. Our economy …. The analysis finds that, contrary to widely-shared perceptions, the short-run effects of FDI-friendly policies on the …
Persistent link: https://www.econbiz.de/10011527415
Investment (FDI). The conventional proximity-concentration theory suggests that FDI substitutes for trade if distance between … empirically the effect of different dimensions of distance on the choice between exports and FDI. We find that different … dimensions of distance affect exports and FDI differently. There is clear evidence of a proximity-concentration trade-off in …
Persistent link: https://www.econbiz.de/10011378320
We assess drivers of FDI in a panel of BRICS and MINT countries for the period 2001-2011. We bundle and unbundle … established. First, for both contemporary and non-contemporary specifications, while determinants for gross FDI are significant …, they are not for net FDI. Second, for contemporary specifications, the significance of the governance dynamics is as …
Persistent link: https://www.econbiz.de/10011409066
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
The objective of this study is to assess governance drivers of FDI in a panel of BRICS and MINT countries for the …, while the majority of our governance determinants of Gross FDI are significant, they are overwhelmingly insignificant for … Net FDI. Secondly, the significance of the governance dynamics in increasing order of magnitude are general governance …
Persistent link: https://www.econbiz.de/10012063760
Previously reported effects of institutional quality and political risks on foreign direct investment (FDI) are mixed … cent increase in FDI, which is substantially larger than the effects of any other dimensions of institutional quality … simultaneously controlled for in our empirical models of FDI inflows. This evidence is consistent with the predictions of a standard …
Persistent link: https://www.econbiz.de/10011603418
Tax treaties between countries influence how much tax revenues governments receive from multinational enterprises. These treaties often reduce the withholding tax rates on outgoing dividend and interest payments. We provide illustrative estimates of costs for these two taxes for 14 developing...
Persistent link: https://www.econbiz.de/10011896280