DP2586 The Effects of Direct Foreign Investment on Domestic Firms: Evidence from Firm Level Panel Data in Emerging Economies

This paper uses firm level panel data to investigate empirically the effects of direct foreign investment (DFI) on the productivity performance of domestic firms in three emerging economies of Central and Eastern Europe, Bulgaria, Romania and Poland. To this end a unique firm level panel data set is used with detailed information on foreign ownership at the firm level. Two main questions are addressed in the present paper: (1) Do foreign firms perform better than their domestic counterparts? (2) Do foreign firms generate spillovers to domestic firms?

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Citation

Konings, J (2000), ‘DP2586 The Effects of Direct Foreign Investment on Domestic Firms: Evidence from Firm Level Panel Data in Emerging Economies‘, CEPR Discussion Paper No. 2586. CEPR Press, Paris & London. https://cepr.org/publications/dp2586