FDI versus exports. Substitutes or complements? A three nation model and empirical evidence

Arbeitspapier

There are two main options for companies to serve foreign markets: exports and foreign direct investment (FDI). Based on the Helpman, Melitz and Yeaple (2004) model for two host countries this paper derives a clear theoretical prediction for the decision between both strategies. A bivariate probit model is estimated using AMADEUS database to analyse the probability of using one or the other strategy. The empirical evidence indicates that a considerable number of companies use a combination of both strategies to serve foreign markets, which is in line with the analyzed three country model.

Angaben zum Objekt

• Sprache: Englisch

Verweise und Beziehungen

• Erschienen in: Series: Working Papers in Economics and Statistics ; No. 2007-28

Klassifikation und Themen

• Klassifikation: Wirtschaft ; Multiple or Simultaneous Equation Models: Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions ; Firm Behavior: Theory ; Models of Trade with Imperfect Competition and Scale Economies; Fragmentation
• Thema: exports ; foreing direct investment ; three nations model ; bivariate probit estimation ; Internationale Markteintrittsstrategie ; Export ; Direktinvestition ; Mehr-Länder-Modell ; Probit-Modell ; Schätzung ; Europa

Beteiligte, Orts- und Zeitangaben

• Ereignis: Geistige Schöpfung
• (wer): Oberhofer, Harald ; Pfaffermayr, Michael
• Ereignis: Veröffentlichung
• (wer): University of Innsbruck, Department of Public Finance
• (wo): Innsbruck
• (wann): 2007

Weitere Informationen

• Handle: http://hdl.handle.net/10419/71920
• Letzte Aktualisierung: 10.03.2025, 11:45 MEZ