Essays on International Trade and Political Economy: The Importance of Incentives, Information, and Globalization
Author:
Karabay, Bilgehan, Department of Economics, University of Virginia
Karabay, Bilgehan, Department of Economics, University of Virginia
Advisors:
McLaren, John, Department of Economics, University of Virginia
Engers, Maxim, Department of Economics, University of Virginia
Blanchard, Emily
Medina, Luis
McLaren, John, Department of Economics, University of Virginia
Engers, Maxim, Department of Economics, University of Virginia
Blanchard, Emily
Medina, Luis
Abstract:
Chapter 1. This paper examines host governments' motivations for restricting ownership shares of multinational firms (MNFs) in foreign direct investment (FDI) projects. A host country has a profitable investment opportunity. The host government wants to capture the project's rent yet cannot observe the surplus created by the MNF. In contrast. a joint venture (JV) partner can observe the surplus. The host government can alleviate its informational constraints by using ownership restrictions to force a JV. This calls into question the wisdom of calls for ‘liberalizing' FDI flows by the elimination of domestic JV requirements.
Note: Abstract extracted from PDF file via OCR
Degree:
PHD (Doctor of Philosophy)
PHD (Doctor of Philosophy)
Keywords:
multinational firms, ownership shares, international trade, politcial economy
multinational firms, ownership shares, international trade, politcial economy
Language:
English
English
Rights:
All rights reserved (no additional license for public reuse)
All rights reserved (no additional license for public reuse)
Issued Date:
2006/08/01
2006/08/01