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Multinationals and the Creation of Chinese Trade Linkages

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  • Deborah L. Swenson

Abstract

This paper studies the relationship between multinational firm proximity and the formation of new export connections by private Chinese exporters between 1997 and 2003. The results indicate that growth in the presence of multinational firms is positively associated with the formation of new trade by local Chinese firms. Further exploration suggests that information spillovers may drive this result, as the positive association due to own-industry multinational presence is particularly strong in contexts where information improvements may be the most helpful. Thus, it appears that a growing presence of multinational firms may enhance the export capabilities of local domestic firms.

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Bibliographic Info

Paper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 13271.

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Date of creation: Jul 2007
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Handle: RePEc:nbr:nberwo:13271

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  1. Jonathan E. Haskel & Sonia C. Pereira & Matthew J. Slaughter, 2002. "Does Inward Foreign Direct Investment Boost the Productivity of Domestic Firms?," Working Papers 452, Queen Mary, University of London, School of Economics and Finance.
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Citations

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Cited by:
  1. Mariassunta Giannetti & Andrei Simonov, 2007. "Social Interactions and Entrepreneurial Activity," NBER Chapters, in: Entrepreneurship: Strategy and Structure National Bureau of Economic Research, Inc.
  2. Florian Mayneris & Sandra Poncet, 2010. "Export Performance of China's Domestic Firms: the Role of Foreign Export Spillovers," Working Papers 2010-32, CEPII research center.
  3. Jo VAN BIESEBROECK & Emily YU & Shenjie CHEN, 2011. "The impact of trade promotion services on Canadian exporter performance," Center for Economic Studies - Discussion papers ces11.21, Katholieke Universiteit Leuven, Centrum voor Economische Studiën.
  4. Fukunari Kimura & Ayako Obashi, 2011. "Production Networks in East Asia : What We Know So Far," Microeconomics Working Papers 23216, East Asian Bureau of Economic Research.
  5. Patrik Karpaty & Richard Kneller, 2011. "Demonstration or congestion? Export spillovers in Sweden," Review of World Economics (Weltwirtschaftliches Archiv), Springer, vol. 147(1), pages 109-130, April.
  6. Annette SCHMINKE & Johannes VAN BIESEBROECK, 2011. "Using export market performance to evaluate regional preferential policies in China," Center for Economic Studies - Discussion papers ces11.33, Katholieke Universiteit Leuven, Centrum voor Economische Studiën.
  7. Torfinn Harding & Beata Smarzynska Javorcik, 2009. "A Touch of Sophistication: FDI and Unit Values of Exports," CESifo Working Paper Series 2865, CESifo Group Munich.
  8. Torfinn Harding & Beata Javorcik, 2011. "FDI and Export Upgrading," Economics Series Working Papers 526, University of Oxford, Department of Economics.
  9. Iwasaki, Ichiro & Csizmadia, Péter & Illéssy, Miklós & Makó, Csaba & Miklós Szanyi, 2010. "Foreign Direct Investment, Information Spillover, and Export Decision : The Concentric-Circle Model with Application to Hungarian Firm-Level Data," Discussion Paper Series a527, Institute of Economic Research, Hitotsubashi University.
  10. Chung, Yessica C.Y., 2012. "Ethnic Networks and Technical Knowledge Learning in Industrial Clusters," Working Papers 37, JICA Research Institute.

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