Blomström, Magnus () (The European Institute of Japanese Studies at the Stockholm School of Economics) Sjöholm, Fredrik () (The European Institute of Japanese Studies at the Stockholm School of Economics)
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This paper examines the effects on technology transfer and spillovers deriving from ownership sharing of foreign multinational affiliates. More specifically, we try to answer two questions, using unpublished Indonesian micro data. Firstly, do establishments with minority and majority ownership differ in terms of productivity levels? Secondly, does the degree of spillover differ with the degree of ownership in the FDI? Our results show that foreign establishments have comparable high levels of labor productivity and that domestic establishments benefit from spillovers. However, the degree of foreign ownership does neither affect the level of labor productivity in foreign establishments, nor the degree of spillovers.
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Length: 15 pages Date of creation: 12 Oct 1998 Date of revision: Publication status: Published in European Economic Review, 1999, pages 915-923. Handle: RePEc:hhs:hastef:0268
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Find related papers by JEL classification: F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business O30 - Economic Development, Technological Change, and Growth - - Technological Change - - - General
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