Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/259966 
Year of Publication: 
2009
Series/Report no.: 
Working Paper No. 2009:2
Publisher: 
Lund University, School of Economics and Management, Department of Economics, Lund
Abstract: 
This paper empirically examines the foreign internalisation decision of multinational corporations. The purpose of the paper is to identify determinants of the firm boundary, where within-boundary production takes the form of foreign direct investments (FDI) and outside-boundary production takes place through international outsourcing, with reference to recently developed general-equilibrium trade theories incorporating firm behaviour. The empirical investigation is performed for 2246 multinationals production engagements in 148 foreign countries under the 1997 to 2006 period. The primary contribution of the paper is the investigation of firm behaviour per se instead of industry level implications of firm behaviour.
Subjects: 
Foreign Direct Investment
International Outsourcing
Firm-level Evidence
JEL: 
F10
F23
L23
Document Type: 
Working Paper

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