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Foreign ownership and productivity dynamics
de Backer, Koen
Universitat Pompeu Fabra. Departament d'Economia i Empresa
In analyzing the distinctive contribution of foreign subsidiaries anddomestic firms to productivity growth in aggregate Belgian manufacturing,this paper shows that foreign ownership is an important source of firmheterogeneity affecting productivity dynamics. Foreign firms havecontributed disproportionately large to aggregate productivity growth,but more importantly reallocation processes differ significantly betweenthe groups of foreign subsidiaries and domestic firms.
Macroeconomics and International Economics
multinational firms
firm heterogeneity
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