The political influence of foreign firms in developing countries

Economics and Politics

Volumn 19, Issue 3, 2007, Pages 421-451

  Desbordes, Rodolphe ^a,b   Vauday, Julien ^c  

^a UNIVERSITÉ CATHOLIQUE DE LOUVAIN   (Belgium)

^b UNIVERSITY OF STRATHCLYDE   (United Kingdom)

^c CNRS   (France)

Author keywords

[No Author keywords available]

Indexed keywords

DEVELOPING WORLD; INDUSTRIAL ENTERPRISE; POLICY MAKING; POLITICAL ECONOMY; POLITICAL RELATIONS; PROFITABILITY; STATE-BUSINESS RELATIONS;

EID: 35348958943     PISSN: 09541985     EISSN: 14680343     Source Type: Journal    
DOI: 10.1111/j.1468-0343.2007.00317.x     Document Type: Article

References (64)

1. Aykut, D. and D. Ratha, 2004, South-south FDI flows: How big are they? Transnational Corporations 13, 149-176.
2. Batra, G., D. Kaufmann, and A. H. W. Stone, 2002, Voices of the firms 2000: Investment climate and governance findings of the World Business Environment Survey (WBES). Mimeo, World Bank.
3. Bellak, C., 2004, How domestic and foreign firms differ and why does it matter? Journal of Economic Surveys 18, 483-514.
4. Bhagwati, J. N., 1987, Quid pro quo DFI and VIEs: A political-economy-theoretic analysis. International Economic Journal 1, 1-14.
5. Bhagwati, J. N., E. Dinopoulos, and K.-Y. Wong, 1992, Quid pro quo foreign investment. American Economic Review 82, 186-190.
6. Blomström, M. and A. Kokko, 1998, Multinational corporations and spillovers. Journal of Economic Surveys 12, 1-25.
7. Blonigen, B. A. and D. N. Figlio, 1998, Voting for protection: Does direct foreign investment influence legislator behavior? American Economic Review 88, 1002-1014.
8. Boddewyn, J. J., 1988, Political aspects of MNE theory. Journal of International Business Studies 19, 341-363.
9. Brant, R., 1990, Assessing proportionality in the proportional odds model for ordinal logistic regression. Biometrics 46, 1171-1178.
10. Carr, D. L., J. R. Markusen, and K. E. Maskus, 2001, Estimating the knowledge-capital model of the multinational enterprise. American Economic Review 91, 693-708.
11. Caves, R. E., 1996, Multinational Enterprises and Economic Analysis (Cambridge University Press, Cambridge, UK).
12. Charlton, A., 2003, Incentive bidding for mobile investment: Economic consequences and potential responses. OECD Working Paper No. 203.
13. Cole, M. A., R. J. Elliott, and P. G. Fredriksson, 2006, Endogenous pollution havens: Does FDI influence environmental regulations? Scandinavian Journal of Economics 108, 157-178.
14. Cowling, K. and P. R. Tomlinson, 2005, Globalisation and corporate power. Contributions to Political Economy 24, 33-54.
15. Davidson, R. and J. G. Mackinnon, 1993, Estimation and Inference in Econometrics (Oxford University Press, New York).
16. Davidson, W. H., 1980, The location of foreign direct investment activity: Country characteristics and experience effects. Journal of International Business Studies 11, 9-22.
17. Dunning, J. H., 1993, Multinational Enterprises and the Global Economy (Addison-Wesley, Wokingham, UK).
18. Dunning, J. H., 1998, An overview of relations with national governments. New Political Economy 3, 280-284.
19. Dunning, J. H., 2001, The eclectic (OLI) paradigm of international production: Past, present and future. International Journal of the Economics of Business 8, 173-190.
20. Ellingsen, T. and K. Wärneryd, 1999, Foreign direct investment and the political economy of protection. International Economic Review 40, 357-379.
21. Fagre, N. and L. T. J. Wells, 1982, Bargaining power of multinationals and host governments. Journal of International Business Studies 13, 9-23.
22. Gawande, K., P. Krishna, and M. J. Robbins, 2004, Foreign lobbies and US trade policy. NBER Working Paper No. 10205.
23. Globerman, S. and D. Shapiro, 2003, Governance infrastructure and U.S. foreign direct investment. Journal of International Business Studies 34, 19-39.
24. Görg, H. and D. Greenaway, 2002, Much ado about nothing? Do domestic firms really benefit from foreign investment? CEPR Discussion Paper No. 3485.
25. Greene, W., 2003, Econometric Analysis (Prentice-Hall, New York).
26. Grether, J.-M., J. de Melo, and M. Olarreaga, 2001, Who determines Mexican trade policy? Journal of Development Economics 64, 343-370.
27. Grossman, G. M. and E. Helpman, 1994, Protection for sale. American Economic Review 84, 833-850.
28. Grossman, G. M. and E. Helpman, 1996, Foreign investment with endogenous protection, in: R. Feenstra, G. Grossman, and D. Irwin, eds., The Political Economy of Trade Policy: Papers in Honor of Jagdish Bhagwati (MIT Press, Cambridge, MA) 199-223.
29. Hellman, J., G. Jones, and D. Kaufmann, 2002, Far from home: Do foreign investors import higher standards of governance in transition economies? Discussion Paper, World Bank Institute.
30. Hellman, J., G. Jones, and D. Kaufmann, 2003, Seize the state, seize the day: State capture and influence in transition countries. Journal of Comparative Economics 31, 751-773.
31. Henisz, W. J., 2003, The power of the Buckley and Casson thesis: The ability to manage institutional idiosyncracies. Journal of International Business Studies 34, 173-184.
32. Hillman, A. J. and M. A. Hitt, 1999, Corporate political strategy formulation: A model of approach, participation, and strategy decision. Academy of Management Review 24, 825-842.
33. Hillman, A. L. and H. W. Ursprung, 1988, Domestic politics, foreign interests, and international trade policy. American Economic Review 78, 729-745.
34. Hillman, A. L. and H. W. Ursprung, 1993, Multinational firms, political competition, and international trade policy. International Economic Review 34, 347-363.
35. Huang, Y., 2005, Are foreign firms privileged by their host governments? Evidence from the 2000 World Business Environment Survey. MIT Working Paper No. 4538-04.
36. Hymer, S. H., 1960, The international operations of national firms: A study of direct investment. PhD thesis, MIT.
37. Ietto-Gillies, G., 2002, Hymer, the nation-state and the determinants of multinational corporations' activities. Contributions to Political Economy 21, 43-54.
38. Kaufmann, D., 2004, Corruption, governance and security: Challenges for the rich countries and the world, in: A. López-Claros, M. Porter, X. Sala-i-Martin, and K. Schwab, eds., Global Competitiveness Report 2004/2005 (Palgrave Macmillan, Basingstoke, UK) 83-102.
39. Kaufmann, D. and S.-J. Wei, 2000, Does "grease money"speed up the wheels of commerce? IMF Working Paper No. 00/64.
40. Kaufmann, D., A. Kraay, and M. Mastruzzi, 2004, Governance matters III: governance indicators for 1996-2002. World Bank Working Paper No. 3106.
41. Kobrin, S. J., 2005, The determinants of liberalization of FDI policy in developing countries: A cross-sectional analysis, 1992-2001. Transnational Corporations 14, 67-98.
42. Kogut, B., 1983, Foreign direct investment as a sequential process, in: C. P. Kindleberger and D. B. Audretsch, eds., The Multinational Corporation in the 1980s (MIT Press, Cambridge, MA) 38-56.
43. Konishi, H., K. Saggi, and S. Weber, 1999, Endogenous trade policy under foreign direct investment. Journal of International Economics 49, 289-308.
44. Kostova, T. and S. Zaheer, 1999, Organizational legitimacy under conditions of complexity: The case of the multinational enterprise. Academy of Management Review 34, 64-81.
45. Lecraw, D. J., 1984, Bargaining power, ownership, and profitability of transnational corporations in developing countries. Journal of International Business Studies 15, 27-43.
46. Lipsey, R. E., 2002, Home and host country effects of FDI. NBER Working Paper No. 9293.
47. Long, S. J. and J. Freese, 2003, Regression Models for Categorical Dependent Variables using Stata (Stata Press, College Station, TX).
48. Luo, Y., 2001, Toward a cooperative view of MNC-host government relations: Building blocks and performance implications. Journal of International Business Studies 32, 401-419.
49. Mitchell, N. J., 1995, The global polity: Foreign firms' political activity in the United States. Polity 27, 447-463.
50. Moran, T. H., 1998, Foreign Direct Investment and Development: The New Policy Agenda for Developing Countries and Economies in Transition (Institute for International Economics, Washington, DC).
51. Nagarajan, N., 2001, Perceptions of the investment climate: Foreign vs. domestic investors. Working Paper, Foreign Investment Advisory Service.
52. Olarreaga, M., 1999, Endogenous tariffs in the presence of foreign capital. Journal of Economic Integration 14, 606-624.
53. Oman, C., 2000, Policy Competition for Foreign Direct Investment: A Study of Competition among Governments to attract FDI (OECD, Paris).
54. Polk, A., 2002, Lobbying activities of multinational firms. University of Zürich Working Paper No. 0205.
55. Safarian, E. A., 1999, Host country policies towards inward foreign direct investment in the 1950s and 1990s. Transnational Corporations 8, 103-112.
56. Saggi, K., 2000, Trade, foreign direct investment, and international technology transfer: A survey. World Bank Working Paper No. 2349.
57. Schiffer, M. and B. Weder, 2001, Firm size and business environment: worldwide survey results. IFC Discussion Paper No. 43.
58. Smith, R. J. and R. W. Blundell, 1986, An exogeneity test for a simultaneous equation tobit model with an application to labor supply. Econometrica 54, 679-686.
59. UNCTAD, 2003, Foreign Direct Investment and the Performance Requirements: New Evidence from Selected Countries (United Nations, New York).
60. Vachani, S., 1995, Enhancing the obsolescing bargain theory: A longitudinal study of foreign ownership of U.S. and European multinationals. Journal of International Business Studies 26, 159-180.
61. Vernon, R., 1971, Sovereignty at Bay (Basic Books, New York).
62. Williams, R., 2006, Generalized ordered logit/partial proportional odds models for ordinal dependent variables. Stata Journal 6, 58-82.
63. World Bank, 2004, Doing Business in 2004: Understanding Regulation (Oxford University Press, Oxford, UK).
64. Zaheer, S., 1995, Overcoming the liability of foreignness. Academy of Management Journal 38, 341-363.