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Foreign direct investment and the single market

Abstract:

This paper extends the theory of multinational corporations, identifying three distinct influences of internal trade liberalization by a group of countries on the level and pattern of inward foreign direct investment (FDI). First, the tariff jumping motive encourages plant consolidation. Second, the export platform motive favours FDI with only a single union plant relative to exporting, and may induce a firm which has never exported to invest. Finally, reduced internal tariffs increase compet...

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Publication status:
Published
Peer review status:
Peer reviewed

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Publisher copy:
10.1111/1467-9957.00304

Authors


More by this author
Institution:
University of Oxford
Division:
SSD
Department:
Economics
Research group:
Industrial Economics
Oxford college:
Merton College
Role:
Author

Contributors

Publisher:
Blackwell Publishing Publisher's website
Journal:
Manchester School Journal website
Volume:
70
Issue:
3
Pages:
291-314
Publication date:
2002-06-01
DOI:
EISSN:
1467-9957
ISSN:
1463-6786
Language:
English
Subjects:
UUID:
uuid:19a90c3a-1758-4c05-8f31-fc6a15f17b61
Local pid:
ora:2131
Deposit date:
2008-06-27

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