IDEAS home Printed from https://ideas.repec.org/a/bla/scotjp/v70y2023i1p101-114.html
   My bibliography  Save this article

Urban bias and multinational firms

Author

Listed:
  • Jiancai Pi
  • Xinyi Liu

Abstract

This paper explores how urban bias in the host country affects the movement of multinational capital owned by multinational firms in the source country and the production in the invested sector. If the degree of urban bias in one of the urban sectors in the host country increases, then the amount of multinational capital flowing into the host country will increase, but the production in the invested sector will have different changes in different situations.

Suggested Citation

  • Jiancai Pi & Xinyi Liu, 2023. "Urban bias and multinational firms," Scottish Journal of Political Economy, Scottish Economic Society, vol. 70(1), pages 101-114, February.
  • Handle: RePEc:bla:scotjp:v:70:y:2023:i:1:p:101-114
    DOI: 10.1111/sjpe.12310
    as

    Download full text from publisher

    File URL: https://doi.org/10.1111/sjpe.12310
    Download Restriction: no

    File URL: https://libkey.io/10.1111/sjpe.12310?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Dennis Tao Yang, 1999. "Urban-Biased Policies and Rising Income Inequality in China," American Economic Review, American Economic Association, vol. 89(2), pages 306-310, May.
    2. Boehm, Christoph E. & Flaaen, Aaron & Pandalai-Nayar, Nitya, 2020. "Multinationals, Offshoring, and the Decline of U.S. Manufacturing," Journal of International Economics, Elsevier, vol. 127(C).
    3. Gordon H. Hanson & Raymond J. Mataloni & Matthew J. Slaughter, 2005. "Vertical Production Networks in Multinational Firms," The Review of Economics and Statistics, MIT Press, vol. 87(4), pages 664-678, November.
    4. Pi, Jiancai & Zhou, Yu, 2012. "Public infrastructure provision and skilled–unskilled wage inequality in developing countries," Labour Economics, Elsevier, vol. 19(6), pages 881-887.
    5. Russ, Katheryn Niles, 2007. "The endogeneity of the exchange rate as a determinant of FDI: A model of entry and multinational firms," Journal of International Economics, Elsevier, vol. 71(2), pages 344-372, April.
    6. Avraham Ebenstein & Ann Harrison & Margaret McMillan & Shannon Phillips, 2022. "Estimating The Impact Of Trade And Offshoring On American Workers Using The Current Population Surveys," World Scientific Book Chapters, in: Globalization, Firms, and Workers, chapter 12, pages 275-289, World Scientific Publishing Co. Pte. Ltd..
    7. Yamashita, Nobuaki & Yamauchi, Isamu, 2019. "The effects of offshore production on onshore innovation: Evidence from Japanese multinationals," Research Policy, Elsevier, vol. 48(9), pages 1-1.
    8. Pi, Jiancai & Zhou, Yu, 2014. "Foreign capital, public infrastructure, and wage inequality in developing countries," International Review of Economics & Finance, Elsevier, vol. 29(C), pages 195-207.
    9. Batra, Raveendra N & Ramachandran, Rama, 1980. "Multinational Firms and the Theory of International Trade and Investment," American Economic Review, American Economic Association, vol. 70(3), pages 278-290, June.
    10. Majumdar, Sumon & Mani, Anandi & Mukand, Sharun W., 2004. "Politics, information and the urban bias," Journal of Development Economics, Elsevier, vol. 75(1), pages 137-165, October.
    11. Bezemer, Dirk & Headey, Derek, 2008. "Agriculture, Development, and Urban Bias," World Development, Elsevier, vol. 36(8), pages 1342-1364, August.
    12. Shifa, Abdulaziz B., 2013. "The dual policy in the dual economy—The political economy of urban bias in dictatorial regimes," Journal of Development Economics, Elsevier, vol. 105(C), pages 77-85.
    13. Jiancai Pi & Yanwei Fan, 2019. "Urban bias and wage inequality," Review of Development Economics, Wiley Blackwell, vol. 23(4), pages 1788-1799, November.
    14. Eckel, Carsten & Egger, Hartmut, 2009. "Wage bargaining and multinational firms," Journal of International Economics, Elsevier, vol. 77(2), pages 206-214, April.
    15. Alexandros Mourmouras & Peter Rangazas, 2013. "Efficient urban bias," Journal of Economic Geography, Oxford University Press, vol. 13(3), pages 451-471, May.
    16. Arnott, Richard J & Gersovitz, Mark, 1986. "Social Welfare Underpinnings of Urban Bias and Unemployment," Economic Journal, Royal Economic Society, vol. 96(382), pages 413-424, June.
    17. Sajid Anwar, 2008. "Labor Inflow Induced Wage Inequality and Public Infrastructure," Review of Development Economics, Wiley Blackwell, vol. 12(4), pages 792-802, November.
    18. Anwar, Sajid, 2008. "Labour supply, foreign investment and welfare in the presence of public infrastructure," Economic Modelling, Elsevier, vol. 25(5), pages 959-967, September.
    19. Jiancai Pi & Pengqing Zhang, 2018. "Factor‐biased public infrastructure and wage inequality," Review of Development Economics, Wiley Blackwell, vol. 22(3), pages 79-94, August.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Jiancai Pi & Kaiqi Zhang & Xiangyu Huang, 2023. "Financial globalization and wage inequality," Scottish Journal of Political Economy, Scottish Economic Society, vol. 70(2), pages 144-157, May.
    2. Pi, Jiancai & Zhang, Pengqing, 2021. "Redistribution and wage inequality," International Review of Economics & Finance, Elsevier, vol. 72(C), pages 510-523.
    3. Pi, Jiancai & Zhang, Pengqing, 2016. "Hukou system reforms and skilled-unskilled wage inequality in China," China Economic Review, Elsevier, vol. 41(C), pages 90-103.
    4. Jiancai Pi & Xinyi Liu, 2024. "Pollution control and multinational firms," International Journal of Economic Theory, The International Society for Economic Theory, vol. 20(1), pages 3-27, March.
    5. Pi, Jiancai & Zhou, Yu, 2014. "Foreign capital, public infrastructure, and wage inequality in developing countries," International Review of Economics & Finance, Elsevier, vol. 29(C), pages 195-207.
    6. Jiancai Pi & Yu Zhou, 2015. "The impacts of corruption on wage inequality and rural–urban migration in developing countries," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 54(3), pages 753-768, May.
    7. Zhang, Pengqing, 2019. "Automation, wage inequality and implications of a robot tax," International Review of Economics & Finance, Elsevier, vol. 59(C), pages 500-509.
    8. Jiancai Pi & Ping Xu, 2023. "Idea Exchange and Wage Inequality," Annals of Economics and Finance, Society for AEF, vol. 24(1), pages 69-89, May.
    9. Pi, Jiancai & Zhang, Pengqing, 2018. "Structural change and wage inequality," International Review of Economics & Finance, Elsevier, vol. 58(C), pages 699-707.
    10. Aeshna Badruzzaman, 2023. "Repositioning urban bias: Non‐state providers' use of spatialised networks in Bangladesh," Public Administration & Development, Blackwell Publishing, vol. 43(1), pages 49-59, February.
    11. Chaudhuri, Sarbajit & Ghosh, Arnab & Banerjee, Dibyendu, 2018. "Can public subsidy on education necessarily improve wage inequality?," International Review of Economics & Finance, Elsevier, vol. 54(C), pages 165-177.
    12. Andrew B. Bernard & J. Bradford Jensen & Stephen J. Redding & Peter K. Schott, 2018. "Global Firms," Journal of Economic Literature, American Economic Association, vol. 56(2), pages 565-619, June.
    13. Sarbajit Chaudhuri & Jayanta Kumar Dwibedi, 2022. "Anti‐immigration policy in developed countries: Welfare and distributional implications for developing economies," International Journal of Economic Theory, The International Society for Economic Theory, vol. 18(3), pages 358-381, September.
    14. Richard Mussa, 2013. "Rural--urban differences in parental spending on children's primary education in Malawi," Development Southern Africa, Taylor & Francis Journals, vol. 30(6), pages 789-811, December.
    15. Pi, Jiancai & Zhang, Pengqing, 2018. "Skill-biased technological change and wage inequality in developing countries," International Review of Economics & Finance, Elsevier, vol. 56(C), pages 347-362.
    16. ADACHI Daisuke & SAITO Yukiko, 2020. "Multinational Production and Labor Share," Discussion papers 20012, Research Institute of Economy, Trade and Industry (RIETI).
    17. Jiancai Pi & Pengqing Zhang, 2017. "Social conflict and wage inequality," Journal of Economics, Springer, vol. 121(1), pages 29-49, May.
    18. Shifa, Abdulaziz B., 2013. "The dual policy in the dual economy—The political economy of urban bias in dictatorial regimes," Journal of Development Economics, Elsevier, vol. 105(C), pages 77-85.
    19. Muendler, Marc-Andreas, 2017. "Trade, technology, and prosperity: An account of evidence from a labor-market perspective," WTO Staff Working Papers ERSD-2017-15, World Trade Organization (WTO), Economic Research and Statistics Division.
    20. Gareth A. Jones & Stuart Corbridge, 2010. "The continuing debate about urban bias," Progress in Development Studies, , vol. 10(1), pages 1-18, January.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:scotjp:v:70:y:2023:i:1:p:101-114. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: https://edirc.repec.org/data/sesssea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.