Exporting, Linkages and Productivity Spillovers from Foreign Direct Investment

Sourafel Girma (), Holger Görg () and Mauro Pisu

No 6383, CEPR Discussion Papers from C.E.P.R. Discussion Papers

Abstract: In this paper we analyse productivity spillovers from foreign direct investment using firm level panel data UK manufacturing industries from 1992 to 1999. We investigate spillovers through horizontal, backward and forward linkages, distinguish spillovers from export oriented vs domestic market oriented FDI, and allow for differing effects depending on domestic firms’ export activities. The results suggest that the mechanisms through which spillovers affect domestic firms are very complex and that there are substantial differences in spillover benefits for domestic exporters and non-exporters, and from different types of inward investment.

Keywords: absorptive capacity; exporting; foreign direct investment; linkages; productivity spillovers (search for similar items in EconPapers)
JEL-codes: F1 F2 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-eff and nep-int
Date: 2007-07
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Journal Article: Exporting, linkages and productivity spillovers from foreign direct investment (2008)
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