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Facts and Fallacies about U.S. FDI in China

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  • Lee Branstetter
  • C. Fritz Foley
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    Abstract

    Despite the rapid expansion of U.S.-China trade ties, the increase in U.S. FDI in China, and the expanding amount of economic research exploring these developments, a number of misconceptions distort the popular understanding of U.S. multinationals in China. In this paper, we seek to correct four common misunderstandings by providing a statistical portrait of several aspects of U.S. affiliate activity in the country and placing this activity in its appropriate economic context.

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    Bibliographic Info

    Paper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 13470.

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    Date of creation: Oct 2007
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    Publication status: published as Facts and Fallacies about U.S. FDI in China , Lee Branstetter, C. Fritz Foley. in China's Growing Role in World Trade , Feenstra and Wei. 2010
    Handle: RePEc:nbr:nberwo:13470

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    1. Diego Puga & Daniel Trefler, 2005. "Wake up and smell the ginseng: The rise of incremental innovation in low-wage countries," Working Papers, University of Toronto, Department of Economics tecipa-193, University of Toronto, Department of Economics.
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    5. Desai, Mihir & Antras, Pol & Foley, C. Fritz, 2009. "Multinational Firms, FDI Flows and Imperfect Capital Markets," Scholarly Articles 3199065, Harvard University Department of Economics.
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    8. Daniel H. Rosen, 1999. "Behind the Open Door: Foreign Enterprises in the Chinese Marketplace," Peterson Institute Press: All Books, Peterson Institute for International Economics, Peterson Institute for International Economics, number 23, July.
    9. Sanghoon Ahn & Kyoji Fukao & Keiko Ito, 2008. "Outsourcing in East Asia and its impact on the Japanese and Korean Labour Markets," OECD Trade Policy Papers, OECD Publishing 65, OECD Publishing.
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    Cited by:
    1. Barry Bosworth, 2008. "Trading with Asia’s Giants," Working Papers id:1615, eSocialSciences.
    2. Ito, Banri & Yashiro, Naomitsu & Xu, Zhaoyuan & Chen, XiaoHong & Wakasugi, Ryuhei, 2012. "How do Chinese industries benefit from FDI spillovers?," China Economic Review, Elsevier, Elsevier, vol. 23(2), pages 342-356.
    3. Greaney, Theresa M. & Li, Yao, 2009. "Assessing foreign direct investment relationships between China, Japan, and the United States," Journal of Asian Economics, Elsevier, Elsevier, vol. 20(6), pages 611-625, November.
    4. Fergal McCann, 2009. "Outsourcing and Firm Productivity in Irish Manufacturing," FIW Working Paper series, FIW 021, FIW.
    5. Steven Husted & Shuichiro Nishioka, 2013. "China’s fare share? The growth of Chinese exports in world trade," Review of World Economics (Weltwirtschaftliches Archiv), Springer, Springer, vol. 149(3), pages 565-585, September.

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