Access

You are not currently logged in.

Access your personal account or get JSTOR access through your library or other institution:

login

Log in to your personal account or through your institution.

Does Foreign Direct Investment Increase the Productivity of Domestic Firms? In Search of Spillovers through Backward Linkages

Beata Smarzynska Javorcik
The American Economic Review
Vol. 94, No. 3 (Jun., 2004), pp. 605-627
Stable URL: http://www.jstor.org/stable/3592945
Page Count: 23
  • Download ($10.00)
  • Subscribe ($19.50)
  • Cite this Item
Does Foreign Direct Investment Increase the Productivity of Domestic Firms? In Search of Spillovers through Backward Linkages
Preview not available

Abstract

Many countries strive to attract foreign direct investment (FDI) hoping that knowledge brought by multinationals will spill over to domestic industries and increase their productivity. In contrast with earlier literature that failed to find positive intraindustry spillovers from FDI, this study focuses on effects operating across industries. The analysis, based on firm-level data from Lithuania, produces evidence consistent with positive productivity spillovers from FDI taking place through contacts between foreign affiliates and their local suppliers in upstream sectors. The data indicate that spillovers are associated with projects with shared domestic and foreign ownership but not with fully owned foreign investments.

Page Thumbnails

  • Thumbnail: Page 
605
    605
  • Thumbnail: Page 
606
    606
  • Thumbnail: Page 
607
    607
  • Thumbnail: Page 
608
    608
  • Thumbnail: Page 
609
    609
  • Thumbnail: Page 
610
    610
  • Thumbnail: Page 
611
    611
  • Thumbnail: Page 
612
    612
  • Thumbnail: Page 
613
    613
  • Thumbnail: Page 
614
    614
  • Thumbnail: Page 
615
    615
  • Thumbnail: Page 
616
    616
  • Thumbnail: Page 
617
    617
  • Thumbnail: Page 
618
    618
  • Thumbnail: Page 
619
    619
  • Thumbnail: Page 
620
    620
  • Thumbnail: Page 
621
    621
  • Thumbnail: Page 
622
    622
  • Thumbnail: Page 
623
    623
  • Thumbnail: Page 
624
    624
  • Thumbnail: Page 
625
    625
  • Thumbnail: Page 
626
    626
  • Thumbnail: Page 
627
    627