TY - JOUR
T1 - Employment effects of FDI in hot labour markets: A cross-country analysis
AU - Becker, Bettina
AU - Driffield, Nigel
AU - Lancheros, Sandra
AU - Love, James H.
PY - 2015/1
Y1 - 2015/1
N2 - We examine the effects of FDI on domestic employment and labour costs, concentrating on high-tech industrial sectors. Using a detailed firm-level dataset covering 6 sectors in 29 countries over the period 2002-10, we find no evidence of crowding out of domestic employment by FDI in ‘hot’ labour markets, but strong evidence of significant wage effects. These effects are strongest in countries which are typically regarded as having relatively flexible labour markets. In the long run there is some evidence of crowding out in the domestic sector, but this is restricted to transition countries.
AB - We examine the effects of FDI on domestic employment and labour costs, concentrating on high-tech industrial sectors. Using a detailed firm-level dataset covering 6 sectors in 29 countries over the period 2002-10, we find no evidence of crowding out of domestic employment by FDI in ‘hot’ labour markets, but strong evidence of significant wage effects. These effects are strongest in countries which are typically regarded as having relatively flexible labour markets. In the long run there is some evidence of crowding out in the domestic sector, but this is restricted to transition countries.
UR - http://proceedings.aom.org/content/2015/1/18223.abstract?sid=02967808-9a55-4c00-ba8c-27f6e0d55899
U2 - 10.5465/AMBPP.2015.18223abstract
DO - 10.5465/AMBPP.2015.18223abstract
M3 - Conference abstract
SN - 0065-0668
VL - 2015
JO - Academy of Management Proceedings
JF - Academy of Management Proceedings
M1 - 18223
ER -