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Author:Head, K.
Ries, J.
Title:Inter-city competition for foreign investment: static and dynamic effects of China's incentive areas
Journal:Journal of Urban Economics
1996 : JUL, VOL. 40:1, p. 38-60
Index terms:URBAN AREAS
ECONOMICS
FOREIGN INVESTMENT
Language:eng
Abstract:China's "Open Door" policy has created a natural experiment for studying agglomeration externalities and the role of incentives designed to attract foreign direct investment. The authors build a model which predicts that foreign firms will prefer cities where other foreign firms are located. The authors estimate the model using data on 931 foreign ventures. The authors then use simulations to explore the effect policies favoring particular cities had on the distribution of investment.
SCIMA record nr: 149851
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