Sun, Sizhong (2009): Impact of aggregation on measuring FDI spillovers: a Monte Carlo appraisal.
Download (88kB) | Preview
Using a Monte Carlo experiment, this paper explores the impact of data aggregation on measuring the FDI spillovers. We find the aggregation significantly covers up the spillovers, which is further exacerbated by the correlation between the foreign presence and the explanatory variable at the disaggregate level. However, if the FDI at the level of aggregation is proportional to its domestic counterparts, then the aggregation does not affect the measurement of spillovers.
|Item Type:||MPRA Paper|
|Original Title:||Impact of aggregation on measuring FDI spillovers: a Monte Carlo appraisal|
|Keywords:||Aggregation; Spillovers; FDI|
|Subjects:||D - Microeconomics > D2 - Production and Organizations > D20 - General
C - Mathematical and Quantitative Methods > C8 - Data Collection and Data Estimation Methodology ; Computer Programs > C81 - Methodology for Collecting, Estimating, and Organizing Microeconomic Data ; Data Access
|Depositing User:||Sizhong Sun|
|Date Deposited:||21 May 2009 13:56|
|Last Modified:||23 Aug 2016 11:18|
Aitken, B. J. and A. E. Harrison, "Do Domestic Firms Benefit from Direct Foreign Investment? Evidence from Venezuela," The American Economic Review 89:3 (1999), 605-618.
Barrios, S., S. Dimelis, et al., "Efficiency Spillovers from Foreign Direct Investment in the EU Periphery: A Comparative Study of Greece, Ireland, and Spain," Review of World Economics/Weltwirtschaftliches Archiv 140:4 (2004), 688-705.
Barrios, S. and E. Strobl, "Foreign Direct Investment and Productivity Spillovers: Evidence from the Spanish Experience," Review of World Economics/Weltwirtschaftliches Archiv 138:3 (2002), 459-481.
Blomstrom, M. and A. Kokko, "Multinational corporations and spillovers," Journal of Economic Survey 12:2 (1998), 1-31.
Braconier, H., K. Ekholm, et al., "In Search of FDI-Transmitted R&D Spillovers: A Study Based on Swedish Data," Review of World Economics/Weltwirtschaftliches Archiv 137:4 (2001), 644-665.
Branstetter, L., "Is Foreign Direct Investment a Channel of Knowledge Spillovers? Evidence from Japan's FDI in the United States," Journal of International Economics 68:2 (2005), 325-344.
Caballero, R. J. and R. K. Lyons, "The role of external economies in U.S. manufacturing," NBER working paper:no.3033 (1989).
Caves, R. E., "Multinational firms, competition, and productivity in host-country markets," Economica 41:162 (1974), 176-193.
Cohen, W. M. and D. A. Levinthal, "Innovation and learning: The two faces of R&D," The Economic Journal 99:397 (1989), 1309-1329.
Cohen, W. M. and D. A. Levinthal, "Absorptive capacity: A new perspective on learning and innovation," Administrative Science Quarterly 35:1 (1990), 128-152.
Dimelis, S. and H. Louri, "Foreign Direct Investment and Technology Spillovers: Which Firms Really Benefit?," Review of World Economics/Weltwirtschaftliches Archiv 140:2 (2004), 230-253.
Glass, A. J. and K. Saggi, "International technology transfer and the technology gap," Journal of Development Economics 55:2 (1998), 369-398.
Gorg, H. and D. Greenaway, "Much ado about nothing? do domestic firms really benefit from foreign direct investment?," World Bank Research Observer 9:2 (2004), 171-197.
Gorg, H. and E. Strobl, "Multinational companies and productivity spillovers: a meta-analysis," The Economic Journal 111 (2001), F723-F739.
Javorcik, B. S. and M. Spatareanu, "To share or not to share: Does local participation matter for spillovers from foreign direct investment?," Journal of Development Economics 85:1-2 (2008), 194-217.
Kohpaiboon, A., "Foreign direct investment and technology spillover: A cross-industry analysis of Thai manufacturing," World Development 34:3 (2006), 541-556.
Lipsey, R. E. and F. Sjoholm, "The impact of inward FDI on host countries: Why such different answers?" in T. H. Moran, E. Graham and M. Blomstrom (Eds.), Does Foreign Direct Investment Promote Development? (Washington D.C.: Institute for International Economics and Center for Global Development, 2005).
Sadik, A. T. and A. A. Bolbol, "Capital flows, FDI, and Technology Spillovers: Evidence from Arab Countries," World Development 29:12 (2001), 2111-2125.
Saggi, K., "Trade, Foreign Direct Investment, and international technology transfer: a survey," World Bank Research Observer 17:2 (2002), 191-235.
Sinani, E. and K. E. Meyer, "Spillovers of Technology Transfer from FDI: the Case of Estonia," Journal of Comparative Economics 32 (2004), 445-466.
Smeets, R., "Collecting the pieces of the FDI knowledge spillovers puzzle," The World Bank Research Observer 23:2 (2008), 107-138.