Cross-border Investment and Economic Integration: The Case of Guangdong Province and Hong Kong SAR

Naubahar Sharif () and Can Huang
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Naubahar Sharif: Hong Kong University of Science and Technology

No 2008-035, MERIT Working Papers from United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT)

Abstract: In this paper, we undertake a comparative study of the performance of local and foreign competitors’ manufacturing firms in a FDI-recipient region—Guangdong Province, China—and analyzes the policy implications of the comparison for the advanced, FDI-outflow region—Hong Kong Special Administrative Region (HKSAR). By highlighting changes in productivity that vary with changes in manufacturing firm ownership, we reveal that domestic firms have been catching up with their foreign counterparts, including Hong Kong-based firms, though foreign firms have successfully strengthened their dominating position in Guangdong’s manufacturing industry.

Keywords: Total Factor Productivity; Manufacturing Sectors; Asia; China; Guangdong; Hong Kong (search for similar items in EconPapers)
JEL-codes: D24 L60 O47 (search for similar items in EconPapers)
Date: 2008
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Citations: View citations in EconPapers (1)

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Chapter: Cross-border Investment and Economic Integration: The Case of Guangdong Province and Hong Kong SAR (2009)
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Persistent link: https://EconPapers.repec.org/RePEc:unm:unumer:2008035

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