Template-type: ReDIF-Paper 1.0
Author-Name: Marin, Anabel
Author-Email: a.i.marin@sussex.ac.uk
Author-Workplace-Name: SPRU, University of Sussex
Author-Name: Costa, Ionara
Author-Email: Ionara.da.Costa@gmail.com
Author-Workplace-Name: UNU-MERIT
Title: Thinking locally: Exploring the importance of a subsidiary-centered model of 
	 FDI-related spillovers in Brazil  
Abstract: This paper investigates FDI-related spillovers in Brazil for the period 
	 1996-2005. In contrast to most previous recent studies, which have 
	 failed to identify any significant effects in emerging economies, we 
	 found that horizontal spillovers did arise in Brazil. However, they did 
	 not arise simply as a consequence of general FDI-mediated technology 
	 transfer from MNC headquarters, as the standard approach presumes. Nor 
	 were they associated with expected inter-industry differences in 
	 technological intensity, or with differences in domestic firms’ 
	 absorptive capability. Instead, spillovers were associated with the 
	 existence of particular kinds of localized knowledge-creation activities 
	 undertaken by subsidiaries. We discuss the theory and policy 
	 implications that emerge from these results.
Classification-JEL: O31, O47, O16
Keywords: FDI spillovers, subsidiaries, heterogeneity, localized innovation,
	 Brazil, productivity, innovation
Series: UNU-MERIT Working Papers
Creation-Date: 2009
Number: 2009-008
File-URL: https://unu-merit.nl/publications/wppdf/2009/wp2009-008.pdf
File-Format: application/pdf
File-Size: 275 Kb
Handle: RePEc:unm:unumer:2009008