Accounting for Outward Direct Investment from Hong Kong and Singapore: Who Controls What?
AbstractAfter a brief introduction and examination of the economic rationale for accounting for foreign direct investment (FDI), we survey information on outward investors from Hong Kong and Singapore with the aim of illuminating the implications of accounting for such FDI by geographical source or by country of ultimate beneficial owner. By any measure it is clear that a large part of FDI from these economies comes from foreign-controlled firms and hence that ownership-based estimates of FDI from these two economies would be much smaller than the standard, geography-based estimates. However, because outward investment by foreign firms in Hong Kong and Singapore often involves sub- stantial contributions from local staff and partners, an attempt is made to examine the extent of control over investment decisions exercised by these local staff and partners. Case studies from Hong Kong indicate a tendency for for local control over investment decisions to be relatively strong in 4 types of foreign-controlled Hong Kong firms, recently acquired firms, firms with strong local entrepreneurial involvement, customer-oriented firms, and relocated holding companies. On the other hand, evidence froma sample of Thai affiliates of foreign-controlled Hong Kong or Singapore investors suggested that many of the investors were acting as part of an integrated network of foreign investors. Thus, although it is clear local staff and partners have a large influence over the investment decisions of foreign-controlled outward investors in Hong Kong and Singapore, it does not appear that such firms are a majority among foreign-controlled investors in these economies.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. 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.
Bibliographic InfoPaper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 5858.
Date of creation: Dec 1996
Date of revision:
Publication status: published as Linda Low, Eric D. Ramstetter, and Henry Wai-Chung Yeung. "Accounting for Outward Direct Investment from Hong Kong and Singapore: Who Controls What?" Geography and Ownership as Bases for Economic Accounting. Editedby Robert E. Baldwin, Robert E. Lipsey, and J.David Richardson, Chicago, Ill: The Univ. of Chicago Press, 1998, pp.139-168.
Contact details of provider:
Postal: National Bureau of Economic Research, 1050 Massachusetts Avenue Cambridge, MA 02138, U.S.A.
Web page: http://www.nber.org
More information through EDIRC
Other versions of this item:
- Linda Low & Eric D. Ramstetter & Henry Wai-Chung Yeung, 1998. "Accounting for Outward Direct Investment from Hong Kong and Singapore: Who Controls What?," NBER Chapters, in: Geography and Ownership as Bases for Economic Accounting, pages 139-172 National Bureau of Economic Research, Inc.
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.:
- Hill H, 1991. "Multinationals and employment in Indonesia," ILO Working Papers 282608, International Labour Organization.
- W-C H Yeung, 1994. "Hong Kong firms in the ASEAN region: transnational corporations and foreign direct investment," Environment and Planning A, Pion Ltd, London, vol. 26(12), pages 1931-1956, December.
- Sjöholm, Fredrik, 2013.
"Foreign Direct Investments in Southeast Asia,"
Working Paper Series
987, Research Institute of Industrial Economics.
- Helen Simpson, 2008.
"Investment Abroad and Adjustment at Home: evidence from UK multinational firms,"
The Centre for Market and Public Organisation
08/207, Department of Economics, University of Bristol, UK.
- Helen Simpson, 2009. "Investment abroad and adjustment at home: evidence from UK multinational firms," Working Papers 0903, Oxford University Centre for Business Taxation.
- Helen Simpson, 2007. "Investment abroad and adjustment at home: evidence from UK multinational firms," IFS Working Papers W07/07, Institute for Fiscal Studies.
- Gnanaraj Chellaraj & Keith E. Maskus & Aaditya Mattoo, 2013.
"Labor Skills and Foreign Investment in a Dynamic Economy: Estimating the Knowledge-capital Model for Singapore,"
Review of Development Economics,
Wiley Blackwell, vol. 17(4), pages 627-643, November.
- Chellaraj, Gnanaraj & Maskus, Keith E. & Mattoo, Aaditya, 2009. "Labor skills and foreign investment in a dynamic economy : estimating the knowledge-capital model for Singapore," Policy Research Working Paper Series 4950, The World Bank.
- Gnanaraj Chellaraj & Keith Maskus & Aaditya Mattoo, 2009. "Labor Skills and Foreign Investment in a Dynamic Economy: Estimating the Knowledge-Capital Model for Singapore," School of Economics Working Papers 2009-21, University of Adelaide, School of Economics.
- Helen Simpson, 2010.
"How do firms’ outward FDI strategies relate to their activity at home? Empirical evidence for the UK,"
The Centre for Market and Public Organisation
10/236, Department of Economics, University of Bristol, UK.
- Helen Simpson, 2012. "How do Firms’ Outward FDI Strategies Relate to their Activity at Home? Empirical Evidence for the UK," The World Economy, Wiley Blackwell, vol. 35(3), pages 243-272, 03.
- Helen Simpson, 2010. "How do firms’ outward FDI strategies relate to their activity at home? Empirical evidence for the UK," Working Papers 1009, Oxford University Centre for Business Taxation.
- Lipsey, Robert E. & Sjöholm, Fredrik, 2011.
"South–South FDI and Development in East Asia,"
Asian Development Review,
Asian Development Bank, vol. 28(2), pages 11-31.
- Lipsey, Robert E. & Sjöholm, Fredrik, 2011. "South-South FDI and Development in East Asia," Working Paper Series 885, Research Institute of Industrial Economics.
- Lipsey, Robert E. & Sjöholm, Fredrik, 2011. "South-South FDI and Development in East Asia," Working Papers 2011:30, Lund University, Department of Economics.
- Hiro Lee & Dominique van der Mensbrugghe, 2001. "A General Equilibrium Analysis of the Interplay between Foreign Direct Investment and Trade Adjustments," Discussion Paper Series 119, Research Institute for Economics & Business Administration, Kobe University, revised Jul 2001.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ().
If references are entirely missing, you can add them using this form.