Does Foreign Direct Investment Promote Development?Theodore H. Moran, Magnus Blomstrom, Edward Montgomery Graham, Magnus Blomström What is the impact of foreign direct investment (FDI) on development? The answer is important for the lives of millions--if not billions--of workers, families, and communities in the developing world. The answer is crucial for policymakers in developing and developed countries, and in multilateral agencies. This volume gathers together the cutting edge of new research on FDI and host country economic performance and presents the most sophisticated critiques of current and past inquiries. It probes the limits of what can be determined from available evidence and from innovative investigative techniques. In addition, the book presents new results, concludes with an analysis of the implications for contemporary policy debates, and proposes new avenues for future research. |
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By transferring technology to local suppliers , multinationals may be able to improve quality and lower the price of nonlabor inputs . Indeed , while multinational enterprises may invest overseas to obtain low - wage labor or to avoid ...
This would create multiple sources of superior supply and would encourage entry ( competition ) that would lower prices . Total surplus rises because the new technology increases productivity and because the deadweight from imperfect ...
Figure 4.1 Flow of technology and welfare effects from FDI Final sector 1 Final sector 2 Local firm 1 Foreign firm 1 Local firm 2 Foreign firm 2 Technology transfer Lower final sector prices Increased output and value added Local supply ...
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Contents
RD Activities of Foreign and National | 107 |
Foreign Direct Investment and Local Economic | 137 |
Comment | 175 |
Copyright | |
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Does Foreign Direct Investment Promote Development? Theodore Moran,Edward M Graham,Magnus Blomström Limited preview - 2005 |