Vertical intra-industry trade and foreign direct investment in East Asia

Intra-Industry Foreign Direct Investment

We use a new firm level data set which establishes the location, ownership, and activity of 650,000 multinational subsidiaries—close to a comprehensive picture of global multinational activity—. A number of patterns emerge from the data. Most foreign direct investment (FDI) occurs between rich countries. The share of vertical FDI (subsidiaries which provide inputs to their parent firms) is larg...

Japan’s Foreign Direct Investment in East Asia: Its Influence on Recipient Countries and Japan’s Trade Structure

Following the sharp appreciation of the yen after the Plaza Agreement of September 1985, Japan’s foreign direct investment (FDI) in East Asian countries increased rapidly: from around $US1 billion during the first half of the 1980s, it started to increase sharply in 1986 and hit a peak of around $US8 billion in 1989. This rapid increase then stopped as the appreciation of the yen slowed during ...

Intra - Industry Trade , Foreign Direct Investment and the Reorientation of Eastern European Exports

the effect of foreign direct investment on iran-turkey’s intra-industry trade (iit)

intra-industry trade (iit) comprises of instantaneous imports and exports of goods and services which are handled in a same industry. the importance of iit between trading partners refers to those tradable products that provide them with diversity and high technology. to expand its foreign trade relations, iran indeed requires such trade patterns that include diversification of goods and servic...

Intra- and Inter-industry Linkages in Foreign Direct Investment: Evidence from Japanese Investment in Europe

This paper studies the location choices of Japanese manufacturing and service firms in Europe between 1970 and 1995. We examine whether the presence of Japanese manufacturing (service) firms attracts other Japanese manufacturers (service providers), whether there exist interindustry linkages between the two sectors, and how such intraand interindustry agglomeration effects have evolved over tim...