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The Internationalization of Production

Author

Listed:
  • Robert E. Lipsey

Abstract

The degree of internationalizaton of the enterprise or business sectors of many countries, as measured by the ratio of direct investment abroad to domestic wealth or assets, or of assets or employment abroad to that at home, has been growing over the last twenty years or more. The exception to this trend is the United States, in which the extent of internationalization, after growing until the 1970s, has stagnated or decreased somewhat. The level of internationalization of U.S. firms in the 1970s and 1980s was above that of Germany and especially above those of Japan and Korea. Canada was close to the U.S. and UK firms were by far the most internationalized. The differences among the country levels and trends seem to reflect country size and divergences between the competitiveness of countries and of their companies, including those that result from exchange-rate movements.

Suggested Citation

  • Robert E. Lipsey, 1989. "The Internationalization of Production," NBER Working Papers 2923, National Bureau of Economic Research, Inc.
    • Handle: RePEc:nbr:nberwo:2923
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    References listed on IDEAS

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    1. Caves, Richard E, 1974. "Causes of Direct Investment: Foreign Firms' Shares in Canadian and United Kingdom Manufacturing Industries," The Review of Economics and Statistics, MIT Press, vol. 56(3), pages 279-293, August.
    2. Robert E. Lipsey & Irving B. Kravis, 1985. "The Competitive Position of U.S. Manufacturing Firms," NBER Working Papers 1557, National Bureau of Economic Research, Inc.
    3. repec:ucp:bkecon:9780226301532 is not listed on IDEAS
    4. Robert E. Lipsey & Irving B. Kravis, 1986. "The Competitiveness and Comparative Advantage of U.S. Multinationals, 1957-1983," NBER Working Papers 2051, National Bureau of Economic Research, Inc.
    5. Robert E. Lipsey & Mario Schimberni & Robert V. Lindsay, 1988. "Changing Patterns of International Investment in and by the United States," NBER Chapters, in: The United States in the World Economy, pages 475-558, National Bureau of Economic Research, Inc.
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    Citations

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    Cited by:

    1. Robert E. Lipsey & Magnus Blomstrom & Eric D. Ramstetter, 1998. "Internationalized Production in World Output," NBER Chapters, in: Geography and Ownership as Bases for Economic Accounting, pages 83-138, National Bureau of Economic Research, Inc.
    2. Broll, Udo & Zilcha, Itzhak, 1992. "Exchange rate uncertainty, futures markets and the multinational firm," European Economic Review, Elsevier, vol. 36(4), pages 815-826, May.
    3. J. David Richardson, 1992. ""New" Trade Theory and Policy a Decade Old: Assessment in a Pacific Context," NBER Working Papers 4042, National Bureau of Economic Research, Inc.
    4. Baharumshah, Ahmad Zubaidi & Thanoon, Marwan A. & Rashid, Salim, 2003. "Saving dynamics in the Asian countries," Journal of Asian Economics, Elsevier, vol. 13(6), pages 827-845, January.
    5. Broll, Udo & Zilcha, Itzhak, 1990. "Two-Country Firm: Exchange Rate Uncertainty and Futures Markets," Foerder Institute for Economic Research Working Papers 275483, Tel-Aviv University > Foerder Institute for Economic Research.
    6. Robert E. Lipsey, 1999. "Foreign Production by U.S. Firms and Parent Firm Employment," NBER Working Papers 7357, National Bureau of Economic Research, Inc.
    7. Robert E. Lipsey, 1992. "Foreign Direct Investment in the U.S.: Changes Over Three Decades," NBER Working Papers 4124, National Bureau of Economic Research, Inc.
    8. Robert E. Lipsey, 1991. "Foreign Direct Investment in the U.S. and U.S. Trade," NBER Working Papers 3623, National Bureau of Economic Research, Inc.

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