Bauerle Danzman Merging Interests

When Domestic Firms Shape FDI Policy
Erscheinungsjahr 2019
ISBN: 978-1-108-66611-4
Verlag: Cambridge University Press
Format: PDF
Kopierschutz: Adobe DRM (»Systemvoraussetzungen)

E-Book, Englisch

Reihe: Business and Public Policy

Why do governments open their economies to multinational enterprises (MNEs)? Some argue democratic forces promote this openness, but many citizen groups view multinational business with suspicion. Using quantitative and qualitative analysis, Bauerle Danzman demonstrates how large domestic firms push to liberalize foreign direct investment (FDI) policies to ameliorate financing constraints, often to the detriment of smaller competitors. MNE entry comes with substantial risks, such as higher labour costs and increased productivity pressures, so well-connected domestic firms will prefer to limit access to local markets when the costs of debt financing are relatively low. However, when local environments make debt financing increasingly expensive, firms will be more willing to dismantle restrictive investment policies so that they may overcome liquidity constraints with equity financing from abroad. Bauerle Danzman includes comparative analysis of Malaysia and Indonesia from 1965–2016 to illustrate how governments undertake investment policy reform, and to indicate the interest groups that influence the outcomes of these regulatory changes.

Autoren/Hrsg.

Bauerle Danzman, Sarah

Fachgebiete

• Sozialwissenschaften Politikwissenschaft Regierungspolitik Wirtschafts- und Finanzpolitik
• Wirtschaftswissenschaften Volkswirtschaftslehre Internationale Wirtschaft
• Wirtschaftswissenschaften Betriebswirtschaft Management Internationales Management
• Wirtschaftswissenschaften Betriebswirtschaft Bereichsspezifisches Management Außenhandel
• Wirtschaftswissenschaften Volkswirtschaftslehre Wirtschaftspolitik, politische Ökonomie
• Sozialwissenschaften Politikwissenschaft Politikwissenschaft Allgemein

Inhaltsverzeichnis

1. Introduction; 2. Describing FDI policy through time and space; 3. Financing constraints and liberalized entry; 4. Quantitative tests: financing constraints and liberalization; 5. Quantitative tests: firm and industry level evidence; 6. Comparing Malaysia and Indonesia, 1965–1997; 7. Crisis, reform and policy divergence: Malaysia and Indonesia, 1997–2013; 8. Implications of elite-driven integration.

Über Autor(innen)

Bauerle Danzman, Sarah
Sarah Bauerle Danzman is an assistant professor of International Studies at Indiana University. She is also a 2019–20 Council of Foreign Relations International Affairs Fellow (working in US government to study the inter-agency foreign investment screening process). She has published in various outlets including International Relations Quarterly and Perspectives on Politics, and consults regularly with the World Association of Investment Promotion Agencies and the World Bank Group on investment promotion policy.