KOZO KIYOTA (Yokohama National University, Japan) TOSHIYUKI MATSUURA (Institute of Economic Research, Hitotsubashi University, Japan; Research Institute of Economy, Trade and Industry, Japan) SHUJIRO URATA () (Graduate School of Asia-Pacific Studies, Waseda University, Nishi-Waseda Bldg. 7F, 1-21-1 Nishi-Waseda, Shinjuku-ku, Tokyo 169-0051, Japan)
Additional information is available for the following
registered author(s):
This paper empirically examines the impacts of exchange rate volatility on the location choice by Japanese multinational corporations (MNCs) and their intra-firm trade. We use affiliate-level data for Japanese MNCs for 1995, 1998 and 2001. We found that high exchange rate volatility discourages the establishment of an affiliate by MNCs. Moreover, the high exchange rate volatility causes the shift from inter-firm to intra-firm transactions. These findings imply the importance of maintaining a stable exchange rate environment in order for MNCs to expand their production and distribution networks.
Download Info
To download:
If you experience problems downloading a file, check if you have the
proper application to
view it first. Information about this may be contained
in the File-Format links below. In case of further problems read
the IDEAS help
page. Note that these files are not on the IDEAS
site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Cited by: (explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)