Regulatory policy and the location of bio-pharmaceutical FDI in Europe

Pamina Koenig and Megan MacGarvie

PSE Working Papers from HAL

Abstract: This paper examines the relationship bewteen cross-country differences in drug price regulation and the location of biopharmaceutical Foreign Direct Investment (FDI) in Europe. We use a theoretically-grounded location-choice model and data on 294 investments initiated in 27 European countries between 2002 and 2006 to test the hypothesis that biopharmaceutical companies are less likely to locate new investments in countries with more stringent price regulation.

Keywords: pharmaceutical industry; location choices; price regulations; discrete choice model (search for similar items in EconPapers)
Date: 2009-03
Note: View the original document on HAL open archive server: https://shs.hal.science/halshs-00566800v1
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Working Paper: Regulatory policy and the location of bio-pharmaceutical FDI in Europe (2009)
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Persistent link: https://EconPapers.repec.org/RePEc:hal:psewpa:halshs-00566800

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