Logo
Munich Personal RePEc Archive

Determinants of Taiwanese investment in China: An agglomeration economies-based perspective

Chen, George Shih-Ku (2009): Determinants of Taiwanese investment in China: An agglomeration economies-based perspective.

[thumbnail of MPRA_paper_13894.pdf]
Preview
PDF
MPRA_paper_13894.pdf

Download (201kB) | Preview

Abstract

We investigate the impact of agglomeration economies on the distribution of Taiwanese investment in China for the period 1996-2005. We find that the uneven distribution of Taiwanese investment can be explained by agglomeration economies related to industrial linkages, labour-market pooling and monitoring costs. Furthermore, we find evidence that the nature of agglomeration forces attracting Taiwanese investment not only differs across regions but also changes over time. Importantly, we find mild evidence that this investment is affected by a market crowding effect, or that the benefit from agglomeration decreases once the market size exceeds a critical threshold.

Atom RSS 1.0 RSS 2.0

Contact us: mpra@ub.uni-muenchen.de

This repository has been built using EPrints software.

MPRA is a RePEc service hosted by Logo of the University Library LMU Munich.