The Adjustment Speed of Employment at Foreign-Owned Firms

Yukako Murakami and Kyoji Fukao

Hi-Stat Discussion Paper Series from Institute of Economic Research, Hitotsubashi University

Abstract: Is employment practice at foreign-owned firms different from that of Japan, the life-time employment system? Using firm level data of the Japanese manufacturing sector, this paper showed that the adjustment speed of employment at foreign-owned firms was slightly higher than at domestically-owned firms. This finding suggests that firm-specific skills are less important in foreign-owned firms than in Japanese firms.

Keywords: Multinational firms; FDI; adjustment speed; employment; life-time employment system (search for similar items in EconPapers)
JEL-codes: F11 J5 (search for similar items in EconPapers)
Date: 2007-03
References: Add references at CitEc
Citations: View citations in EconPapers (1)

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