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Multinationals, Access to Finance and the Exports of Private Firms in China

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  • Jun Du
  • Sourafel Girma

Abstract

Using a rich panel data set, we provide a rigorous analysis of the relationship between access to external finance, foreign direct investment and the exports of private enterprises in China. We conclude that, in order to foster the exports of indigenous enterprises, the elimination of financial discrimination against private firms is likely to be a more effective policy tool than the reliance on spillovers from multinational firms.

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File URL: http://www.nottingham.ac.uk/gep/documents/papers/2008/08-03.pdf
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Bibliographic Info

Paper provided by University of Nottingham, GEP in its series Discussion Papers with number 08/03.

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Handle: RePEc:not:notgep:08/03

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Postal: School of Economics University of Nottingham University Park Nottingham NG7 2RD
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Fax: (0115) 951 4159
Web page: http://www.nottingham.ac.uk/gep/index.aspx
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Related research

Keywords: FDI; export; finance; endogenous Tobit model;

References

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  16. de la Fuente, Angel & Marin, JoseMaria, 1996. "Innovation, bank monitoring, and endogenous financial development," Journal of Monetary Economics, Elsevier, vol. 38(2), pages 269-301, October.
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