A metaâ€ analysis of the indirect impact of foreign direct investment in old and new EU member states: Understanding productivity spillovers
Randolph Bruno and
Maria Cipollina ()
The World Economy, 2018, vol. 41, issue 5, 1342-1377
In this paper, we summarise, combine and explain recent findings from firmâ€ level empirical literature focusing on the indirect impact of foreign direct investment (FDI) on economic performance, measured as productivity, in the Enlarged Europe. We have reviewed 52 quantitative studies, released between 2000 and 2015 and codified 1,133 estimates. We run a regression of regressions which measures the strength of the FDIâ€“productivity relationship. Taking advantage of large number of highâ€ quality studies on FDI and its role in explaining the growth in firmsâ€™ productivity in Europe, we adopt recent metaâ€ regression analysis methodsâ€”funnel asymmetry and precision estimate tests and precisionâ€ effect estimate with standard errorsâ€”to explain the heterogeneous impact of FDI. This paper assesses the countryâ€ specific impact of FDI on firmsâ€™ performance, after taking publication selection bias, econometric modelling and the individual studiesâ€™ characteristics fully into account. Our results show that on average FDI has a positive indirect impact on productivity. The impact is especially significant in selected European countries, and we interpret this as a sign of better absorptive capacities in those countries.
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (19) Track citations by RSS feed
Downloads: (external link)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:bla:worlde:v:41:y:2018:i:5:p:1342-1377
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
Bibliographic data for series maintained by Wiley Content Delivery ().