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Why do foreign-owned firms in the UK have higher labour productivity?

In: Inward Investment Technological Change and Growth

Author

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  • Nicholas Oulton

Abstract

Foreign-owned firms in manufacturing have substantially higher labour productivity than domestically owned ones. This basic feature of the UK economy has been known for some time (Davies and Lyons, 1991). The UK is not unique in this respect: the same is true of countries such as the United States (Doms and Jensen, 1998) and Canada (Globerman etal., 1994). For the UK, the productivity gap at the firm level has been documented by Oulton (1998b); similar findings are reported by Griffith (1999a, 1999b) and in the paper by Girma et al. in this volume.

Suggested Citation

  • Nicholas Oulton, 2001. "Why do foreign-owned firms in the UK have higher labour productivity?," Palgrave Macmillan Books, in: Nigel Pain (ed.), Inward Investment Technological Change and Growth, chapter 5, pages 122-161, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-0-230-59844-7_5
    DOI: 10.1057/9780230598447_5
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    Cited by:

    1. Blandina Oliveira & Adelino Fortunato, 2008. "The dynamics of the growth of firms: evidence from the services sector," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 35(3), pages 293-312, July.
    2. Robert E. Lipsey, 2002. "Home and Host Country Effects of FDI," NBER Working Papers 9293, National Bureau of Economic Research, Inc.

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