Can foreign direct investment foster the manufacturing industries’ spatial total factor productivity convergence in a transition economy? An empirical approach from Vietnam

Anh Tuan Pham, Minh Khac Nguyen, Hoang Linh Dang and Thi Xuan Thu Nguyen

Bulletin of Economic Research, 2021, vol. 73, issue 4, 606-623

Abstract: This study tries to examine the influence of foreign direct investment (FDI) on the total factor productivity (TFP) convergence of the manufacturing industries in Vietnamese provinces. We find that the convergence rates estimated using spatial lag and error models are larger than those implied by panel data models that do not consider spatial dependence. The spatial dependence of TFP growth in the provinces is due to geographical TFP and FDI spillovers. Our findings indicate that studies on the convergence rate of regions should check for spatial dependence.

Date: 2021
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
https://doi.org/10.1111/boer.12265

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:bla:buecrs:v:73:y:2021:i:4:p:606-623

Ordering information: This journal article can be ordered from
http://www.blackwell ... bs.asp?ref=0307-3378

Access Statistics for this article

More articles in Bulletin of Economic Research from Wiley Blackwell
Bibliographic data for series maintained by Wiley Content Delivery ().