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Technology Transfer and Spillovers: Does Local Participation with Multinationals Matter?

Magnus Blomstrom and Fredrik Sjöholm

No 268, SSE/EFI Working Paper Series in Economics and Finance from Stockholm School of Economics

Abstract: This paper examines the effects on technology transfer and spillovers deriving from ownership sharing of foreign multinational affiliates. More specifically, we try to answer two questions, using unpublished Indonesian micro data. Firstly, do establishments with minority and majority ownership differ in terms of productivity levels? Secondly, does the degree of spillover differ with the degree of ownership in the FDI? Our results show that foreign establishments have comparable high levels of labor productivity and that domestic establishments benefit from spillovers. However, the degree of foreign ownership does neither affect the level of labor productivity in foreign establishments, nor the degree of spillovers.

Keywords: Joint venture; productivity; spillovers; Indonesia; foreign direct investment (search for similar items in EconPapers)
JEL-codes: F23 O30 (search for similar items in EconPapers)
Pages: 15 pages
Date: 1998-10-12
New Economics Papers: this item is included in nep-eec, nep-eff and nep-tid
References: Add references at CitEc
Citations: View citations in EconPapers (33)

Published in European Economic Review, 1999, pages 915-923.

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Journal Article: Technology transfer and spillovers: Does local participation with multinationals matter?1 (1999) Downloads
Working Paper: Technology, Transfer and Spillovers: Does Local Participation With Multinationals Matter? (1998) Downloads
Working Paper: Technology Transfer and Spillovers? Does Local Participation with Multinationals Matter? (1998) Downloads
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