Skip to main content
Article thumbnail
Location of Repository

Spillovers from FDI and Skill Structures of Host-Country Firms

By Nigel Driffield and Karl B. Taylor


This paper uses panel data across UK manufacturing from 1983 to 1992, to test whether inward flows of FDI have contributed to increasing trends in the employment of relatively higher skilled individuals. Moreover, the paper isolates the effect on domestic firms, and shows that this effect is a function of the size of the foreign productivity advantage. The results show, that even after controlling for the factors most commonly used to explain relative employment shifts – namely technological change and import intensity, that FDI has a role to play in influencing employment trends

Topics: multinationals, spillovers, relative employment
Publisher: Dept. of Economics, University of Leicester.
Year: 2002
OAI identifier:

Suggested articles


  1. (1997). Spillovers, foreign investment, and export behavior, doi
  2. (1996). W ages and foreign ownership: A com parative study of M exico, Venezuela and the United States. doi
  3. (1999). Outsourcing and low skilled workers in the UK’,Bulletin of Economic Research, doi
  4. (1991). Some tests of specification for panel data: M onte Carlo evidence and an application to employm ent equations”,
  5. (1998). Computing inequality: Have computers changed the labour market?’, doi

To submit an update or takedown request for this paper, please submit an Update/Correction/Removal Request.