Multinational Enterprise and Economic Analysis

Abstract

The third edition of Multinational Enterprise and Economic Analysis surveys the contributions that economic analysis has made to our understanding of why multinational enterprises exist and what consequences they have for the workings of the national and international economies. It shows how economic analysis can explain multinationals' activity patterns and how economics can shed conceptual light on problems of business policies and managerial decisions arising in practice. It addresses the welfare problems arising from multinationals' activities and the logic of governments' preferences and choices in their dealings with multinationals. Suitable for researchers, graduates and upper-level undergraduates. The third edition of this highly accessible book incorporates the many additions to our knowledge of multinationals accumulated in research appearing in the past decade.

After Brexit: Alternate forms of Brexit and their implications for the United Kingdom, the European Union and the United States

“…On the other hand, outward FDI is associated with a reduction in demand for unskilled and sometimes skilled labour This review is by no means exhaustive. For more systematic reviews see, for example, Görg & Strobl (2001) and Görg & Greenaway (2004) for a meta-analysis of earlier literature on multinational companies and productivity spillovers, Caves (2007) for a comprehensive discussion of the theory of international firms, Contessi & Weinberger (2009) for an insightful overview of empirical literature on FDI and growth, Hofmann (2013) for an extensive discussion of theoretical and empirical literature on determinants and effects of FDI, and Alfaro (2017) for a recent review of micro and macro approaches to identifying gains from FDI. 321 Contessi, De Pace & Francis (2013) show that FDI inflows are pro-cyclical in developed countries and countercyclical in developing countries, so pooling all countries together would not reveal any pattern of cyclicality.…”

The Nexus of FDI, R&D, and Human Capital on Chinese Sustainable Development: Evidence from a Two-Step Approach

“…FDI isusually considered to be the most effective means of early-stage national economic development, whereas R&D investment is recognized as an indispensable factor for sustainable development in host countries [2]. FDI can play a positive role in a host country's economic development by transferring the beneficial capital, advanced technology, management know-how, and intangible assets of an enterprise [3,4]. R&D, as an essential factor in enhancing national competitiveness and sustainable development, emphasizes intangible assets and soft power in the process of economic development [5][6][7][8][9].…”

How do different drivers of R&D investment in foreign locations affect domestic firm performance? An analysis based on Swiss panel micro data

“…Dunning distinguishes three groups of variables which explain international engagements of a firm: "ownership-specific advantages" (O), "location-specific advantages" (L) and "internalizing advantages" (I). In accordance with the "dynamic capability view of the firm" (Teece et al, 1997) and the pioneering thinking of Hymer going back to the 1960s [Hymer (1976); see also Caves (1982)], O-advantages refer to firm-specific capabilities and assets that make a company superior to local competitors irrespective of general location characteristics. Such advantages arise from the availability of (firm-specific) human, physical and knowledge capital as well as specific intangibles related to property rights, marketing, organization, learning, managerial skills, governance and trust, finance, experience with foreign markets, etc.…”