Article ID Journal Published Year Pages File Type
969280 Journal of Policy Modeling 2011 11 Pages PDF
Abstract

Two different reactions to globalization (either supporting or opposing globalization) are observed throughout the world. Focusing on the effects on the labor market, we examine whether foreign direct investment benefits workers employed by local establishments in a host developing country. The analysis shows that they received wages above the market-based wage that would otherwise prevail in the absence of foreign establishments. Although concerns exist that growing multinational business might have negative impacts on local workers, this paper suggests that those fears might be unwarranted.

Related Topics
Social Sciences and Humanities Economics, Econometrics and Finance Economics and Econometrics
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