Multinational presence and the export participation of local firms in Ghana

Hasan Faruq

Applied Economics Letters, 2012, vol. 19, issue 15, 1515-1519

Abstract: This article examines whether the presence of multinationals affects the export participation of local firms in the same industry using data on manufacturing firms in Ghana. We find robust evidence consistent with the idea of spillovers from multinationals to Ghanaian exporters. We also observe that larger firms and firms that exported in the past are more likely to export. Our results remain unchanged after we control for potential spillovers from other exporters. These results have useful implications for both Ghana's trade and Foreign Direct Investment (FDI) policies.

Date: 2012
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DOI: 10.1080/13504851.2011.637887

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