2007
DOI: 10.1080/13571510701344038
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Productivity Effects of Foreign Acquisitions in Swedish Manufacturing: The FDI Productivity Issue Revisited

Abstract: This study analyzes the difference between foreign and domestic ownership of firms with respect to productivity. Recent literature has shown that it is important to study the counter-factual outcome, i.e. what would the outcome be had the domestic firm never been acquired? The analysis is based on a panel of Swedish firm level data. In order to isolate the casual effects due to a takeover a propensity score matching estimator is applied to compare similar treated and untreated firms. The difference-in-differen… Show more

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Cited by 46 publications
(31 citation statements)
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References 27 publications
(24 reference statements)
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“…They argue that the reason for this productivity di¤erence is that US multinationals export their organizational capital also to their foreign a¢ liates. Similar results have been documented for Swedish …rms; Karpaty (2007) …nds an increase of 3-11% in productivity from foreign acquisitions on Swedish …rms (1986)(1987)(1988)(1989)(1990)(1991)(1992)(1993)(1994)(1995)(1996)(1997)(1998)(1999)(2000)(2001)(2002).…”
Section: Introductionsupporting
confidence: 69%
“…They argue that the reason for this productivity di¤erence is that US multinationals export their organizational capital also to their foreign a¢ liates. Similar results have been documented for Swedish …rms; Karpaty (2007) …nds an increase of 3-11% in productivity from foreign acquisitions on Swedish …rms (1986)(1987)(1988)(1989)(1990)(1991)(1992)(1993)(1994)(1995)(1996)(1997)(1998)(1999)(2000)(2001)(2002).…”
Section: Introductionsupporting
confidence: 69%
“…In a study of Indonesia, Arnold and Smarzynska (2005) include controls for skill intensity and company history (age). Karpaty (2007) on acquisitions in Sweden includes controls for R&D intensity and region of the firm. Instead of structural variables such as industry and region some studies operate with a firm specific effect see e.g.…”
Section: What Factors Are Usually Controlled For?mentioning
confidence: 99%
“…5; that US companies export their organisational structures to subsidiaries in other countries (see Bloom, Sardun, & van Reenen, 2007). Evidence of similar positive effects has been found in Sweden (see Karpaty, 2007).…”
Section: Literature Review and Hypothesis Formulationmentioning
confidence: 49%