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Sun, Laixiang, Lee, In Hyeock and Hong, Eunsuk (2017) 'Does Foreign Direct Investment Stimulate New Firm Creation? In Search of Spillovers through Industrial and Geographical Linkages.' Small Business Economics, 48 (3). pp. 613-631.

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Abstract

This paper examines the spillover effects of inward foreign direct investment (FDI) on the entrepreneurial activities of new firm creation through both industrial and geographical linkages. Using a dataset of 44,434 newly created small firms in 234 regions of South Korea in 2000–2004, this study finds that while the spillover impacts of FDI in the low-tech industry are positive and significant across almost all four possible combinations of the intra-/inter-regional and intra-/inter-sectoral channels, the impacts in the high-tech industry are largely intra-sectoral within the host region and across neighboring regions. Moreover, all statistically significant spillover effects follow an inverted ‘U’-shaped curvilinear trend.

Item Type: Journal Article
Additional Information: Accepted version of article published online by Springer 19 September 2016
SOAS Departments & Centres: Departments and Subunits > School of Finance & Management
Legacy Departments > Faculty of Law and Social Sciences > School of Finance and Management
ISSN: 15730913
DOI (Digital Object Identifier): https://doi.org/10.1007/s11187-016-9803-0
Date Deposited: 20 Sep 2016 12:56
URI: https://eprints.soas.ac.uk/id/eprint/22968

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