EconPapers    
Economics at your fingertips  
 

Foreign Firms and Chinese Employment

Sune Karlsson (), Nannan Lundin, Fredrik Sjöholm () and Ping He

The World Economy, 2009, vol. 32, issue 1, 178-201

Abstract: This paper examines the effect of foreign direct investment (FDI) on employment in the Chinese manufacturing sector. As one of the world's largest recipients of FDI, China has arguably benefited from foreign multinational enterprises in various respects. However, one of the main challenges for China, and other developing countries, is job creation, and the effect of FDI on employment is uncertain. The effect depends on the amount of jobs created within foreign firms as well as the effect of FDI on employment in domestic firms. We analyse FDI and employment in China using a large sample of manufacturing firms for the period 1998-2004. Our results show that FDI has positive effects on employment growth. The relatively high employment growth in foreign firms is associated with their firm characteristics and their high survival rate. Employment growth is also relatively high in private domestic Chinese firms. There also seems to be a positive indirect effect of FDI on employment in private domestically-owned firms, presumably caused by spillovers. Copyright 2009 The Authors. Journal compilation 2009 Blackwell Publishing Ltd.

Date: 2009
References: Add references at CitEc
Citations View citations in EconPapers (8) Track citations by RSS feed

Downloads: (external link)
http://www.blackwell-synergy.com/links/doi/10.1111/j.1467-9701.2009.01162.x link to full text (text/html)
Access to full text is restricted to subscribers.

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:worlde:v:32:y:2009:i:1:p:178-201

Ordering information: This journal article can be ordered from
http://www.blackwell ... bs.asp?ref=0378-5920

Access Statistics for this article

The World Economy is currently edited by David Greenaway

More articles in The World Economy from Wiley Blackwell
Series data maintained by Wiley-Blackwell Digital Licensing ().

 
Page updated 2017-10-21
Handle: RePEc:bla:worlde:v:32:y:2009:i:1:p:178-201