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Are foreign owned firms more productive? Evidence from Swedish firm data

  • Karpaty, Patrik


    (Department of Business, Economics, Statistics and Informatics)

This paper analyzes the difference between foreign and domestic ownership of firms with respect to productivity. The analysis is performed using a panel of firm data from Statis- tics Sweden, covering the entire manufacturing sector in the 1990:s. First we show that, other things equal, foreign-owned firms have higher labor productivity as well as total factor productivity than domestic firms. We also find that Swedish multinational firms are as productive as foreign-owned firms. Then we show that the rate of growth in productivity is higher in foreign-owned firms. We find no evidence for reverse causality.

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Paper provided by Örebro University, School of Business in its series Working Papers with number 2004:6.

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Length: 32 pages
Date of creation: 13 Oct 2004
Date of revision:
Handle: RePEc:hhs:oruesi:2004_006
Contact details of provider: Postal: Örebro University School of Business, SE - 701 82 ÖREBRO, Sweden
Phone: 019-30 30 00
Fax: 019-33 25 46
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  8. Sourafel Girma & Holger Görg, 2007. "Multinationals' Productivity Advantage: Scale Or Technology?," Economic Inquiry, Western Economic Association International, vol. 45(2), pages 350-362, 04.
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  16. Aghion, Philippe & Howitt, Peter, 1992. "A Model of Growth Through Creative Destruction," Scholarly Articles 12490578, Harvard University Department of Economics.
  17. Fors, Gunnar & Svensson, Roger, 1994. "R&D in Swedish Multinational Corporations," Working Paper Series 406, Research Institute of Industrial Economics.
  18. Karpaty, Patrik & Lundberg, Lars, 2004. "Foreign Direct Investment and Productivity spillovers in Swedish Manufacturing," Working Papers 2004:2, Örebro University, School of Business.
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