Foreign Direct Investment as a Source of Technology-Spillovers in Central East European Candidate-Countries
Jutta Günther
Erweiterung und Integration der EU. Forschungen zur Europäischen Integration, Band 9,
2004
Abstract
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Technology spillovers from external investors in East Germany: no overall effects in favor of domestic firms
Harald Lehmann, Jutta Günther
IWH Discussion Papers,
No. 198,
2004
Abstract
The study deals with the question whether external (foreign and West German) investors in East Germany induce technological spillover effects in favor of domestic firms. It ties in with a number of other econometric spillover studies, especially for transition economies, which show rather mixed and inconclusive results so far. Different from existing spillover analyses, this study allows for a much deeper regional breakdown up to Raumordnungsregionen and uses a branch classification that explicitly considers intermediate and investment good linkages. The regression results show no positive correlation between the presence of external investors and domestic firms’ productivity, no matter which regional breakdown is looked at (East Germany as a whole, federal states, or Raumordnungsregionen). Technology spillovers which may exist in particular cases are obviously not strong enough to increase the domestic firms’ overall productivity.
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Technology spillovers through foreign direct investment. An empirical investigation on the example of Hungarian industry
Jutta Günther
Schriften des IWH,
No. 14,
2003
Abstract
With the beginning of transition in Central East European countries, foreign direct investment increased strongly whereby foreign subsidiaries transfer modern production technology and management know-how. However, it has remained an open question, how far domestic enterprises also benefit from these developments via technology spillovers. The study points out theoretically possible channels of technology spillovers and empirically investigates the significance, scope and influencing factors of the various spillovers channels on the example of Hungarian industry. The findings show that there are hardly any spillover effects in Hungarian industry so far. Major reasons for that are the strong technological disparities between foreign subsidiaries and domestic firms as well as the lack of labor mobility from foreign to domestic enterprises.
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Hardly any technology spillovers from supplier contacts of foreign subsidiaries in Hungary
Jutta Günther
Wirtschaft im Wandel,
No. 13,
2002
Abstract
“Almost no technology spillovers via supplier contacts of foreign subsidiaries in Hungary“ Transition economies in the process of catching-up expect that interactions between modern equipped foreign subsidiaries and backward local companies lead to technology spillovers, especially via supplier contacts. The explorative empirical study shows, however, that linkages between foreign subsidiaries and local firms do hardly exist. First, this is due to the fact that the foreign affiliates largely stick to suppliers in their home countries. Second, the technological disparities between foreign subsidiaries and local firms - the so-called dual structure of economy - hinders cooperation in the field of supplier contacts.
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FDI as Multiplier of Modern Technology in Hungarian Industry
Jutta Günther
Intereconomics,
No. 5,
2002
Abstract
Foreign direct investment is generally expected to play a significant role as a multiplier of modern production and management know-how in Central Eastern European transition economies. The following paper examines the various mechanisms by which such technological spillover effects could in theory take place and compares them with the results of an empirical study of their practical significance for Hungarian industry.
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The significance of FDI for innovation activities within domestic firms - The case of Central East European transition economies
Jutta Günther
IWH Discussion Papers,
No. 162,
2002
Abstract
Foreign direct investment is expected to play a significant role as a multiplier of modern production- and management-know-how in Central East European transition economies. The so-called technology-spillovers are explained through externalities or extra-marketlinkages. In practice they can take place via demonstration effects, labor mobility, supplier contacts, customer contacts or networking activities. However, the empirical study on the example of Hungarian industry shows that foreign owned and domestic firms – mainly due to their strong technological disparities – build virtually separate spheres within the industrial sector. Thus, technology-spillovers do hardly appear as an innovation-stimulating means for domestic companies.
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Risk Potential for Financial Crises for the Central and East European Transition Countries still high
Axel Brüggemann, Thomas Linne
Wirtschaft im Wandel,
No. 1,
2002
Abstract
Since the mid-nineties there have been several financial crises in Central and Eastern Europe. Among the countries affected are Bulgaria, the Czech Republic and Romania - all countries with which the European Union is in the midst of accession negotiations. The prevention of financial crises is also important due to the output losses which occurr in the affected countries. Additionally, contagion effects can influence the economic situation in third countries such as those of the EU. For this reason, the IWH analyses on a regular basis the risk potential of the EU-accession countries as well as for Turkey and Russia.
Since the beginning of 1999 at least two different phases in the development of the risk potential can be distinguished for the majority of the Central and Eastern European countries. The first phase is marked by an increase in the risk potential across all countries in the region because of the contagion and spill-over effects following the Russian financial crisis in August 1998. The risk potential was considerably reduced with the phasing out of these effects and a worldwide economic recovery. However, since mid-2000 a second phase has set in. The weaker international environment has again led to a sizable increase in the crisis vulnerability of several countries, where a host of signals indicate an urgent need for economic policy actions.
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Spillover effects and R&D co-operations - The influence of market structure
Anita Wölfl
IWH Discussion Papers,
No. 122,
2000
Abstract
This paper examines empirically the role of market structure for the influence of spill-over effects on R&D-cooperations. The results of a microeconometric analysis, based on firm data on innovation, let in general presume that with intensified competition also the influence of spillovers on R&D-cooperation increases. However, competition seems to induce firms to search for effective firm-specific appropriation facilities first. Spillovers that are sufficiently high such that the internalisation effect from R&D-cooperation more than outweighs the competitive effect from research, only arise whenever firms are not able to protect their research results through any appropriation facility. Additionally, there is some evidence that spillover effects may even hinder firms from cooperating in R&D when there is intensive competition on the research stage.
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Spillover Effects: An Incentive to Cooperate in R&D?
Anita Wölfl
IWH Discussion Papers,
No. 79,
1998
Abstract
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