The Effects of Regional and Industry: Wide FDI Spillovers on Export of Ukrainian Firms

Park, Sang-Min, Oleksandr Talavera and Stefan Lutz

No 03-54, ZEW Discussion Papers from ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research

Abstract: In this paper we investigate the effects of region and industry?wide spillovers from foreign direct investment (FDI) on the volumes of export of Ukrainian manufacturing firms, using unpublished panel data from 1996?2000. Economic theory suggests that FDI has direct and indirect effects on firm?s performance. Our analysis focuses on the indirect effects like competition and linkage effects through industrial and regional spillovers respectively. We use a simple Cournot competition model in order to test for industrial and regional spillovers. The estimation results suggest that large firms, durable?goods makers, and firms located in urban areas benefit most from FDI spillovers. --

Keywords: transition economies; Ukraine; foreign direct investment; spillovers (search for similar items in EconPapers)
JEL-codes: L60 F23 (search for similar items in EconPapers)
Date: 2003
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Persistent link: http://EconPapers.repec.org/RePEc:zbw:zewdip:1377

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