Arbeitspapier

FDI technology spillovers and wages

This study distinguishes multinational firm (MNE) technology-spillover from learning effects. Whenever learning takes time, the model predicts that foreign investors deduct the economic value of learning from wages of inexperienced workers and add it to experienced ones to prevent them from moving to local competitors. Hence, the national wage bill is unaffected by the presence of MNEs. In contrast to learning, technology spillover effects occur whenever a worker with MNE experience contributes more to local firms' than to MNEs' productivity. In this case, experienced MNE workers are hired by indigenous firms and the host country obtains a welfare gain from the presence of MNEs. Implications of this model for the empirical findings of the MNE wage premium and the empirical FDI technology spillover literature are also discussed.

Sprache
Englisch

Erschienen in
Series: CESifo Working Paper ; No. 2132

Klassifikation
Wirtschaft
Thema
FDI
foreign takeover
cross-border M&A
FDI technology spillover
Übernahme
Multinationales Unternehmen
Direktinvestition
Spillover-Effekt
Technischer Fortschritt
Lohnniveau
Internationale Arbeitsmobilität
Theorie

Ereignis
Geistige Schöpfung
(wer)
Urban, Dieter M.
Ereignis
Veröffentlichung
(wer)
Center for Economic Studies and ifo Institute (CESifo)
(wo)
Munich
(wann)
2007

Handle
Letzte Aktualisierung
10.03.2025, 11:42 MEZ

Datenpartner

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Objekttyp

  • Arbeitspapier

Beteiligte

  • Urban, Dieter M.
  • Center for Economic Studies and ifo Institute (CESifo)

Entstanden

  • 2007

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