Advanced Search
MyIDEAS: Login to save this article or follow this journal

Does Multinationality Matter? Evidence from Swedish firm data


Author Info

  • Patrik Karpaty


This paper highlights the importance of R&D, domestic multinationals and the distinction between greenfield and acquisition FDI with respect to productivity. The analysis is performed using a panel of firm data covering the entire Swedish manufacturing sector in the 1990’s. The analysis shows that, other things equal, foreign-owned firms have higher total factor productivity than domestic firms. The stock of firm-specific knowledge, measured by R&D, also emerges as important. Consistent with Dunning’s ownership-location-internalization (OLI) paradigm, the results suggest that there is no productivity differential between Swedish and foreign MNEs. So multinationality per se is more important than being foreign. Furthermore, it is shown that the mode of entry matters. Foreign greenfields in Sweden are more productive compared to both acquired firms and Swedish MNEs. Finally there is no evidence for reverse causality.

Download Info

To our knowledge, this item is not available for download. To find whether it is available, there are three options:
1. Check below under "Related research" whether another version of this item is available online.
2. Check on the provider's web page whether it is in fact available.
3. Perform a search for a similarly titled item that would be available.

Bibliographic Info

Article provided by Duncker & Humblot, Berlin in its journal Applied Economics Quarterly.

Volume (Year): 52 (2006)
Issue (Month): 2 ()
Pages: 101-122

as in new window
Handle: RePEc:aeq:aeqaeq:v52_y2006_i2_q2_p101-122

Contact details of provider:
Web page:

Order Information:

Related research

Keywords: Foreign ownership; productivity; multinational firms; greenfield and acquisition FDI;

Find related papers by JEL classification:


No references listed on IDEAS
You can help add them by filling out this form.


Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
as in new window

Cited by:
  1. Bandick, Roger & Görg, Holger & Karpaty, Patrik, 2010. "Foreign Acquisitions, Domestic Multinationals, and R&D," CEPR Discussion Papers 8081, C.E.P.R. Discussion Papers.
  2. Joachim Wagner, 2011. "Productivity and International Firm Activities: What do we know?," Working Paper Series in Economics 194, University of Lüneburg, Institute of Economics.


This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.


Access and download statistics


When requesting a correction, please mention this item's handle: RePEc:aeq:aeqaeq:v52_y2006_i2_q2_p101-122. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Deborah Anne Bowen).

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.