Technology Transfer and Spillovers in International Joint Ventures

Müller, Thomas and Schnitzer, Monika (October 2005): Technology Transfer and Spillovers in International Joint Ventures. SFB/TR 15 Discussion Paper No. 84

Abstract

It is often argued that multinationals are reluctant to transfer technology due to the fear of spillovers. We show that this need not be the case if host country policies like taxation are taken into account. Furthermore, we examine the incentives the multinational and the host country have to engage in an international joint venture. We show why a multinational may agree to enter a joint venture even though this gives rise to spillovers. Surprisingly, we find that a joint venture is sometimes not in the interest of a host country, despite the prospect of spillovers.

• Item Type: Paper
• Keywords: Foreign Direct Investment, International Joint Ventures, Technology Transfer, Technology Spillovers, Multinational Firms
• Faculties: Special Research Fields > Discussion Paper Series of SFB/TR 15 Governance and the Efficiency of Economic Systems; Special Research Fields > Discussion Paper Series of SFB/TR 15 Governance and the Efficiency of Economic Systems > B5 - Weltwirtschaftliche Integration und die neue Firmenorganisation; Economics; Economics > Chairs > Seminar for Comparative Economics
• Subjects: 300 Social sciences > 330 Economics
• JEL Classification: D43, F21, F23, L13, P31, O12
• Language: English