Location decision of heterogeneous multinational firms

• 成果类型: Article
• 署名作者: Chen, Maggie Xiaoyang; Moore, Michael O.
• 署名单位: George Washington University
• 刊物名称: JOURNAL OF INTERNATIONAL ECONOMICS
• ISSN/ISSBN: 0022-1996
• DOI: 10.1016/j.jinteco.2009.08.007
• 发表日期: 2010
• 页码: 188-199
• 关键词: Multinational firm; Location decision; firm heterogeneity; PRODUCTIVITY

摘要

We examine how multinational firms with heterogeneous total factor productivity (TFP) self-select Into different host countries Both aggregate- and firm-level estimates suggest that more productive French firms are more likely than their less efficient competitors to invest in relatively tough host countries Countries with a smaller market potential, higher fixed costs of investment or lower import tariffs tend to have higher cutoff productivities and attract a greater proportion of productive multinationals. This self-selection mechanism remains largely robust when we control for unobserved firm and country heterogeneity and address potential TFP endogeneity (C) 2009 Elsevier B V All rights reserved