Simpson, Helen (2010) How do firms' outward FDI strategies relate to their activity at home? Empirical evidence for the UK. Centre for Business Taxation WP 10/09.
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This paper investigates the structure of firms’ outward FDI and their behaviour at home in both manufacturing and business services sectors. UK multinationals with overseas affiliates in low-wage economies invest simultaneously in a large number of high-wage countries. I find that more productive multinationals operate in a greater number of countries, consistent with their being able to bear the fixed costs of investing in numerous locations abroad. UK manufacturing plants owned by large-scale, low-wage economy outward investors display lower domestic employment growth, in particular in low-skill activities, consistent with low-wage economy labour substituting for low-skill labour in the UK.
|Item Type:||Other Working Paper|
|Keywords:||multinational enterprises; skills; globalisation|
|Centre:||Oxford University Centre for Business Taxation > CBT Working Papers|
|Date Deposited:||25 Apr 2012 11:11|
|Last Modified:||15 Oct 2015 02:18|
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