National Policies to Attract Foreign Direct Investment in Research and Development: An Assessment of Brazil and Selected Countries

2010 ◽  
pp. 236-262
Author(s):  
Mariana Zanatta ◽  
Eduardo Strachman ◽  
Flávia Carvalho ◽  
Pollyana C. Varrichio ◽  
Edilaine Camillo ◽  
...  
Keyword(s):  
Foreign Direct Investment ◽  
Research And Development ◽  
Direct Investment ◽  
National Policies

Globalization in the Pharmaceutical Industry, Part I

1998 ◽  
Vol 28 (1) ◽  
pp. 67-105 ◽  
Author(s):  
Claudio Casadio Tarabusi ◽  
Graham Vickery
Keyword(s):  
Foreign Direct Investment ◽  
Pharmaceutical Industry ◽  
Research And Development ◽  
Direct Investment ◽  
Capital Investment ◽  
Product Concentration ◽  
Current Trends ◽  
Production And Consumption ◽  
Product Competition ◽  
Investment Firm

This report on the pharmaceutical industry will be published in two parts. Part I begins with a summary of the study and its conclusions. The authors then provide an overview of the characteristics of the industry and current trends in its growth and structure: production and consumption, employment, research and development, capital investment, firm and product concentration and product competition, and pricing. A discussion of international trade follows, covering intra- and inter-regional, intra-firm, and intra-industry trade. The report will continue in the next issue of the Journal (Part II) with a look at foreign direct investment, inter-firm networks, and governmental policies.

scholarly journals THE IMPACT OF INNOVATION ON ECONOMIC GROWTH: THE SPILLOVER EFFECT OF FOREIGN DIRECT INVESTMENT

2020 ◽  
Vol 8 (2) ◽  
pp. 708-714
Author(s):  
Nguyen Tran Thai Ha ◽  
Sobar M. Johari ◽  
Trinh Thi Huyen Thuong ◽  
Nguyen Thi Minh Phuong ◽  
Le Thi Hong Anh
Keyword(s):  
Economic Growth ◽  
Foreign Direct Investment ◽  
Research And Development ◽  
Direct Investment ◽  
Positive Impact ◽  
Spillover Effect ◽  
Empirical Method ◽  
Convincing Evidence ◽  
Positive Contribution ◽  
The Impact

Purpose of the study: Innovation is seen as the key to improving quality and productivity, thereby promoting competition and economic growth. This study analyzes the impact of innovation on economic growth through various measures, such as research and development spending, the number of researchers, number of patents as well as trademark registrations. Research results are evidence to recommend policies for intellectual-based economic growth. Methodology: Literature review and empirical analysis conducted in the study. The empirical method is a two-step System Generalize Methods of Moments (GMM), aiming at reliable results. Accessing the World Bank Database, research data from 64 developed and developing countries are collected from 2006 to 2014. Main Findings: The empirical findings show that innovation plays a crucial contribution in promoting economic growth, similar to national openness and government spending on education. This study also finds a positive impact on foreign investment flows and their spillover role in enhancing the correlation between innovation and economic growth. Applications of this study: The findings of this study focus on the contributions of innovation, foreign direct investment inflows, and other macro factors that can be enforced to improve economic growth by policymakers. Novelty/Originality of this study: The study uses different measures of innovation, including inputs such as the number of researchers, research and development expenditure, and outputs as the number of patents and number of trademark registrations. Empirical findings are found consistently, thus confirming that innovation is very important for economic growth. The study also shows convincing evidence confirming the positive contribution of foreign direct investment as well as its spillover effect on innovation and economic growth.

Determinants of Foreign Direct Investment in Australia

2013 ◽  
Vol 03 (08) ◽  
pp. 20-30
Author(s):  
Sauwaluck Koojaroenprasit
Keyword(s):  
Foreign Direct Investment ◽  
Research And Development ◽  
Exchange Rates ◽  
Significant Relationship ◽  
Direct Investment ◽  
Market Size ◽  
Corporate Tax ◽  
Fdi Inflows ◽  
Tax Rate ◽  
Significant Relationships

Determinants of Foreign Direct Investment (FDI) in Australia were analyzed from 1986 to 2011, based on data availability. The determinants considered FDI inflows according to aggregate FDI inflows and FDI inflows by the top three source countries (USA, UK and Japan). Empirical studies identified four results. (1) For the determinants of FDI in Australia, a larger market size will attract more FDI, whereas more openness and a higher corporate tax rate will discourage FDI inflows into Australia. Lower customs duty and lower interest and depreciation of exchange rates will attract more FDI. The relationship between FDI inflows into Australia and wages was not significant. (2) For the determinants of US inward FDI in Australia, a larger market size will attract more US inward FDI in Australia, whereas more openness and an appreciation of the exchange rate will discourage US inward FDI in Australia. A negative and significant relationship was obtained between customs duty and US inward FDI in Australia. There were positive and significant relationships between US inward FDI in Australia and both the interest and corporate tax rates. (3) For the determinants of UK inward FDI in Australia, greater research and development in Australia will attract more UK inward FDI in Australia, whereas a higher corporate tax rate will discourage UK inward FDI in Australia. The positive relationship between market size and UK inward FDI in Australia was not significant. Openness, customs duty and inflation did not have significant relationships with UK inward FDI in Australia. (4) For the determinants of Japanese inward FDI in Australia, higher wages and greater research and development will attract more Japanese inward FDI in Australia, whereas higher customs duty and a higher corporate tax rate will discourage Japanese inward FDI in Australia. There was no significant relationship between Japanese inward FDI in Australia and either the interest or exchange rates.

Design and Manufacture by Foreign Electronics Multi-Nationals in Singapore and Taiwan: Product Responsibilities in a Global Environment

1996 ◽  
Vol 210 (3) ◽  
pp. 221-231 ◽  
Author(s):  
K J Tilley ◽  
D J Williams ◽  
P P Conway
Keyword(s):  
Foreign Direct Investment ◽  
Research And Development ◽  
Direct Investment ◽  
State Of The Art ◽  
Global Environment ◽  
The Core ◽  
National Initiatives ◽  
Core Technology ◽  
Development Teams ◽  
Design And Manufacture

The electronics clusters in Singapore and Taiwan have grown largely as a result of foreign direct investment. It is shown that foreign electronics companies in Singapore and Taiwan manufacture with processes close to the state-of-the-art and have considerable process and product design responsibilities. It is established that the products designed are not the core technology for the companies concerned. When compared to the development of the Scottish sites of foreign electronics companies, the sites in Singapore and Taiwan compare favourably in terms of time to obtain design responsibilities and the size of R & D (research and development) teams. National initiatives in Singapore and Taiwan that support the move to R & D at foreign sites are described.

scholarly journals THE IMPACT OF INWARD FDI ON THE GROWTH OF ADVANCED EXPORTS IN CENTRAL-EASTERN EUROPEAN REGION

2020 ◽  
Vol 1 (14) ◽  
pp. 137-145
Author(s):  
Agata Maria Gorniak
Keyword(s):  
Foreign Direct Investment ◽  
Research And Development ◽  
Direct Investment ◽  
Trade Openness ◽  
Capital Formation ◽  
Eastern European ◽  
Domestic Savings ◽  
Central Eastern ◽  
The Impact ◽  
Foreign Direct Investment Inflows

The main objective of the paper is to examine the potential factors which, according to the literature, may be impacting the structure of exports by allowing more exports from high and medium-high research and development intensive sectors. In the paper, particular emphasis is put on the foreign direct investment’s role in export advancement. Apart from foreign direct investment inflows, the research examines the impact of trade openness, gross capital formation, gross domestic savings together with research and development and human capital related factors, on the phenomenon. The research group consists of eight Central – Eastern European economies, accessed to the European Union in 2004. The statistical data utilized in the research is retrieved from commonly available statistical databases. In the study ordinary least squares panel data regression is applied. Three separate models are estimated for three varying time frames (within the years 2000 – 2018), depending on the variables data availability. Obtained results suggest a strong positive correlation between trade openness, investment factors (savings and capital formation) expressed in growth rates, and high and medium-high research and development intensive manufacturing exports. Even though foreign direct investment inflows are identified as statistically significant in two of the estimated models, the coefficient for the variable is low. The results are partially consistent with the literature on the topic. Trade openness and foreign direct investment inflows have both been identified as relevant factors in the previously conducted studies. In contrary to previous findings, the investment-related macroeconomic factors, such as gross domestic savings and gross capital formation appear as significant variables. Also, in the estimated models, factors related to research and development have no relevance.   Keywords: Foreign Direct Investment, International Business, International Trade, Exports, High Technology Exports

scholarly journals Inward Foreign Direct Investment-Induced Technological Innovation in Sri Lanka? Empirical Evidence Using ARDL Approach

2021 ◽  
Vol 13 (13) ◽  
pp. 7334
Author(s):  
AM.Priyangani Adikari ◽  
Haiyun Liu ◽  
MMSA. Marasinghe
Keyword(s):  
Sustainable Development ◽  
Foreign Direct Investment ◽  
Sri Lanka ◽  
Research And Development ◽  
Technological Innovation ◽  
Direct Investment ◽  
Fdi Inflows ◽  
Long Run ◽  
Study Results ◽  
Development Expenditure

Fostering innovation is considered one of the key policy priorities in most governments’ agendas in developing countries. Foreign direct investment (FDI) is a principal resource for financing sustainable development, corresponding to 17 sustainable development goals (SDGs). This study analyzes how inward FDI affects innovation in Sri Lanka using secondary data from 1990 to 2019. We used the Autoregressive Distributed Lag (ARDL) cointegration procedure to examine the long-run relationships between variables. As per the study results, the coefficient of inward FDI is a negative sign while the coefficients of education expenditure (EDU) and research and development expenditure (RDE) show positive signs of 0.26 and 5.7, respectively, and are statistically significant in the long run. It is demonstrated that research and development expenditure is vital in explaining technological innovation, and inward FDI inflows do not contribute to widening technological innovation in Sri Lanka. More FDI inflows will not bring higher innovation. Shaping the future of FDI in Sri Lanka is essential to foster innovation capability.

scholarly journals Innovation in Tow: R&D FDI and investment incentives

2013 ◽  
Vol 15 (4) ◽  
pp. 467-491 ◽  
Author(s):  
Rachel L. Wellhausen
Keyword(s):  
Foreign Direct Investment ◽  
Research And Development ◽  
Multinational Corporations ◽  
Direct Investment ◽  
Value Added ◽  
Investment Incentives ◽  
D Investment

Multinational corporations (MNCs) increasingly internationalize research and development (R&D), but the distribution of foreign direct investment (FDI) in R&D differs from that of general FDI. I use data on US MNC affiliates’ investments abroad (2001–2008) to demonstrate that increasing value added predicts more future R&D FDI, as R&D FDI is an upgrade decision. I then use data on R&D investment incentives to show that, while governments spend resources on R&D incentives, these can be negative predictors of R&D FDI. The findings imply that government efforts are best directed at incremental encouragement of value-added activities, as efforts to jump to R&D FDI are misguided.

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