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| Author: | Halpern, L. Muraközy, B. |
| Title: | Does distance matter in spillover? |
| Journal: | Economics of transition
2007 : VOL. 15:4, p. 629-660 |
| Index terms: | transition economies foreign investment direct investment technology transfer panel data Hungary |
| Freeterms: | foreign direct investment spillovers |
| Language: | eng |
| Abstract: | The paper investigates foreign direct investment (hereafter as FDI) causes horizontal or vertical productivity spillovers to domestically-owned Hungarian manufacturing firms. A large panel of Hungarian firms and different panel models were used to analyze if distance matters in spillovers. The findings are in line with the existing literature. The paper documents that FDI causes positive vertical spillovers but there is no evidence of positive horizontal spillovers. The weighted horizontal measures show that horizontal spillovers decrease with distance. According to the results the geographical distribution of FDI may significantly affect the magnitude of spillover effects. |
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