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The Knowledge-Capital Model and Small Countries

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  • Helga Kristjánsdóttir

    (University of Iceland)

Abstract

In this paper, Knowledge-Capital model estimates for a small country are compared to estimates obtained for larger economies. The model is based on unique panel data on foreign direct investment in Iceland. Estimates obtained for the Knowledge-Capital model differ considerable from what has been obtained in earlier research, indicating that the driving forces behind foreign direct investment in small countries appear to be different from those in large countries.

Suggested Citation

  • Helga Kristjánsdóttir, 2005. "The Knowledge-Capital Model and Small Countries," EPRU Working Paper Series 05-09, Economic Policy Research Unit (EPRU), University of Copenhagen. Department of Economics.
    • Handle: RePEc:kud:epruwp:05-09
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    File URL: http://web.econ.ku.dk/epru/files/wp/wp-05-09.pdf
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    References listed on IDEAS

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    Cited by:

    1. Andreas Waldkirch, 2010. "The structure of multinational activity: evidence from Germany," Applied Economics, Taylor & Francis Journals, vol. 42(24), pages 3119-3133.

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    More about this item

    Keywords

    foreign direct investment; knowledge-capital;

    JEL classification:

    • F21 - International Economics - - International Factor Movements and International Business - - - International Investment; Long-Term Capital Movements
    • F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business

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