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Capital Intensity and Export Propensity in Some Latin American

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  • Sosin, Kim
  • Fairchild, Loretta

Abstract

This paper tests an eclectic theory of the relationship of choice of factor proportions to foreign ownershi p, export propensity, and level of development, using a sample of fir ms in several industries from four areas of Latin America. In eclecti c technology theory, provided that foreign ownership is a positive de terminant of capital intensity, higher export propensity by transnati onal firms is, ceteris paribus, a cause of lower capital intensity. M ore "appropriate" technology and the associated employment benefits will tend to follow from a policy of encouraging entry of exporter f irms and promoting international competition. Copyright 1987 by Blackwell Publishing Ltd

Suggested Citation

  • Sosin, Kim & Fairchild, Loretta, 1987. "Capital Intensity and Export Propensity in Some Latin American," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 49(2), pages 191-208, May.
  • Handle: RePEc:bla:obuest:v:49:y:1987:i:2:p:191-208
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    Cited by:

    1. Fischer, Bernhard & Herken-Krauer, Juan-Carlos & Lücke, Matthias & Nunnenkamp, Peter, 1988. "Capital-intensive industries in newly industrializing countries: the case of the Brazilian automobile and steel industries," Open Access Publications from Kiel Institute for the World Economy 411, Kiel Institute for the World Economy (IfW Kiel).

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