The Impact of Foreign Direct Investment on Home Country Exports

• Type: Article in International Scientific Journal
• Date: 2018

Authors

Silva, V (Author) Other; Rosa Maria Forte (Author) FEP

Journal

Title: Journal of International Commerce, Economics and Policy

Vol. 9

ISSN: 1793-9933

Publisher: World Scientific

Indexing

ISI Web of Knowledge - 0 Citations

Scopus - 4 Citations

Other information

Authenticus ID: P-00P-GD0

DOI: 10.1142/s1793993318500059

Abstract (EN): Exports and foreign direct investment (FDI) are two alternative foreign markets entry modes. From a theoretical point of view, there are arguments which support two different relationships between FDI and exports: complementary and substitution. Most empirical studies, however, have concluded with a complementary relationship. Since existing studies at more dis-aggregated levels have focused solely on the manufacturing industry, this paper aims at studying the relationship between FDI and home country exports based on a large sample of Portuguese firms, belonging to manufacturing and services, for the period 2006-2012. Using a fixed-effects model, results obtained suggest that the control of heterogeneity between firms is essential to clarify the relationship between FDI and exports and this has been a factor often overlooked.

Language: English

Type (Professor's evaluation): Scientific

No. of pages: 22