Cite JOURNAL ARTICLE
Determinants of German Foreign Direct Investment: Evidence from Micro Data
Wagner, Joachim | Schnabel, Claus
Journal of Contextual Economics – Schmollers Jahrbuch, Vol. 114 (1994), Iss. 2 : pp. 185–191
This note presents the first attempt to investigate the determinants of foreign direct investment (fdi) of German firms using micro data. It is based on recently collected data for a large number of firms from all manufacturing industries. The results of the econometric study support the hypotheses that the relationship between firm size and the probability of fdi is inversely u-shaped, and that both experience in exporting and a higher intensity of research and development (measured at the industry level) have a positive impact on fdi.