Do Domestic Firms Learn How to Export From Multinationals? And Does Exporting Increase Productivity? A Microeconometric Analysis of Matched Firms Presented.

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Presentation transcript:

Do Domestic Firms Learn How to Export From Multinationals? And Does Exporting Increase Productivity? A Microeconometric Analysis of Matched Firms Presented by Gilbert Mbara and Elizabeth Rivard

Channels for Export Spillovers Information externalities Demonstration effects Competition effects

Conclusions: Do domestic firms learn to export from multinationals? Yes Presence of foreign MNEs influences export orientation of domestic firms Main channel is competition

Conclusions-Does Exporting Increase Productivity? Exporters are larger and more productive than non-exporters Exporters self-select Exporting may boost productivity

Results from Other Research FDI and R&D have a positive impact on the productivity of domestic firms; FDI, local technology purchase, and outward foreign investment are substitutes to R&D activity (Taiwan) Other papers found that there was not a strong positive relationship between FDI and positive spillovers

Bibliography Foreign direct investment, R&D and spillover efficiency: Evidence from Taiwan's manufacturing firms. Authors: Yih-Chyi Chuang a; Chi-Mei Lin a Journal of Development Studies, Volume 35, Issue 4 April 1999, pages Much Ado about Nothing? Do Domestic Firms Really Benefit from Foreign Direct Investment? Holger Görg and David Greenaway. IADB Does Foreign Direct Investment Increase the Productivity of Domestic Firms? In Search of Spillovers through Backward Linkages. Beata Smarzynska Javorcik. 2003