EconPapers    
Economics at your fingertips  
 

Do intangible assets explain high U.S. foreign direct investment returns?

Benjamin Bridgman ()

Journal of Macroeconomics, 2014, vol. 40, issue C, 159-171

Abstract: U.S. investors abroad receive a higher return on their assets than their counterparts that invest in the United States. I examine the degree to which excluding intangible assets and repatriation taxes from the international transactions accounts can account for this gap. Using a growth accounting framework, I find that adjusting for these exclusions cuts the gap by more than half. The overall returns gap is nearly eliminated when the adjusted FDI rates of return are applied to the overall overseas asset portfolio. The results suggest a portion of the gap is persistent.

Keywords: F21; F23; F3; Returns differentials; Intangible capital; Multinational taxation (search for similar items in EconPapers)
Date: 2014
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3) Track citations by RSS feed

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0164070414000500
Full text for ScienceDirect subscribers only

Related works:
Working Paper: Do Intangible Assets Explain High U.S. Foreign Direct Investment Returns? (2009) Downloads
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:eee:jmacro:v:40:y:2014:i:c:p:159-171

DOI: 10.1016/j.jmacro.2014.03.006

Access Statistics for this article

Journal of Macroeconomics is currently edited by Douglas McMillin and Theodore Palivos

More articles in Journal of Macroeconomics from Elsevier
Bibliographic data for series maintained by Dana Niculescu ().

 
Page updated 2020-03-29
Handle: RePEc:eee:jmacro:v:40:y:2014:i:c:p:159-171