Foreign direct investment, intra-firm trade and ownership structure

Konrad, Kai A. und Lommerud, Kjell Erik (2001): Foreign direct investment, intra-firm trade and ownership structure. Papers / Department of Economics, University of Bergen

Abstract

Asymmetric information about true opportunity cost in trade between a multinational and its foreign affiliate can alleviate the hold-up problem in foreign direct investment. Selling shares in the affiliate to locals is also beneficial because it increase the parent multinational's information rent that is protected from a host government's confiscatory taxation.

• Dokumententyp: Paper
• Fakultät: Volkswirtschaft > Lehrstühle > MPI für Steuerrecht und Öffentliche Finanzen
• Themengebiete: 300 Sozialwissenschaften > 330 Wirtschaft
• JEL Classification: F23, F34, G15, H87
• ISSN: 0014-2921
• Sprache: Englisch