The role of the heterogeneity of services in the transmission of spillovers to domestic manufacturing companies
Volume: 17, Issue: 2, Pages: 194 - 209
Published: Jan 1, 2018
Abstract
The paper analyzes how foreign multinational enterprises (MNEs) in services impact on domestic manufacturing firms. We argue that the impact on the productivity of local upstream and downstream firms differs due to the heterogeneity of services. We investigate a sample of foreign MNEs located in Italy, finding that null (i) local suppliers enjoy positive spillovers from MNEs in highly innovative services; (ii) local customers enjoy positive...
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