Multinational firms and technology transfer Academic Article

abstract

• We construct an oligopoly model in which a multinational firm has a superior technology compared to local firms. Workers employed by the multinational acquire knowledge of its superior technology. The multinational may pay a wage premium to prevent local firms from hiring its workers and thus gaining access to their knowledge. In this setting, the host government has an incentive to attract FDI due to technology transfer to local firms or the wage premium earned by employees of the multinational firm. However, when FDI is particularly attractive to the multinational firm, the host government has an incentive to discourage FDI. JEL classification: F13; F23; J41; L13; O14; O33; O38

authors

• Glass, Amy

published proceedings

• SCANDINAVIAN JOURNAL OF ECONOMICS

altmetric score

• 21

author list (cited authors)

• Glass, A. J., & Saggi, K.

citation count

• 279

complete list of authors

• Glass, AJ||Saggi, K

publication date

• December 2002

publisher

• Wiley  Publisher

published in

• SCANDINAVIAN JOURNAL OF ECONOMICS  Journal

keywords

• Multinational Firms
• Technology Transfers
• Wages

Digital Object Identifier (DOI)

• 10.1111/1467-9442.00298

start page

• 495

end page

• 513

volume

• 104

issue

• 4

URL

• http://dx.doi.org/10.1111/1467-9442.00298