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| Author: | Okamoto, Y. |
| Title: | Multinationals, production efficiency, and spillover effects: The case of the U.S. auto parts industry |
| Journal: | Weltwirtschaftliches Archiv
1999 : HEFT 2, VOL. 135:2, p. 241-260 |
| Index terms: | Industries Cars Production Efficiency Case studies Foreign investment USA |
| Freeterms: | FDI |
| Language: | eng |
| Abstract: | Since the mid-1980s, many of the developing countries have attempted to attract foreign direct investment (or FDI). The primary reason is access to modern technology although the true impact is still controversial. The U.S. case suggests that even in a developed country FDI can also make a favourable impact on the local industry, but possibly through different channels. FDI can increase efficiency substantially through the enhancement of competitive pressure instead of, or in addition to, technology transfer. The manner in which FDI influences the local economy seems to be very different depending on the development stage of recipient countries. |
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