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Productivity Spillovers From Foreign Direct Investment: Evidence From UK Industry Level Panel Data

Author

Listed:
  • Xiaming Liu

    (Aston Business School)

  • Pamela Siler

    (University of Abertay Dundee)

  • Chengqi Wang

    (University of Abertay Dundee)

  • Yingqi Wei

    (Lancaster University)

Abstract

This paper examines intra-industry productivity spillovers from foreign direct investment (FDI) in the UK manufacturing sector. The empirical analysis uses panel data for 48 UK industries over the period 1991 – 1995. A major contribution is empirical evidence on spillover effects in situations where the host country is developed. The results indicate that the very presence of FDI has a positive spillover impact on the productivity of UK-owned firms. The analysis also shows that the extent to which local firms benefit from the introduction of advanced technology depends largely on their own technological capabilities.© 2000 JIBS. Journal of International Business Studies (2000) 31, 407–425

Suggested Citation

  • Xiaming Liu & Pamela Siler & Chengqi Wang & Yingqi Wei, 2000. "Productivity Spillovers From Foreign Direct Investment: Evidence From UK Industry Level Panel Data," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 31(3), pages 407-425, September.
    • Handle: RePEc:pal:jintbs:v:31:y:2000:i:3:p:407-425
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