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Do Transnational Corporations Care About Labour Standards? AgEcon
Busse, Matthias.
This paper explores the relationship between foreign direct investment, or the activities of transnational corporations, and core labour standards. It discusses the channels through which labour standards may influence foreign direct investment and presents the results of an empirical test of that linkage. The results show that, contrary to the conventional wisdom that transnational corporations engage predominately in countries with low standards, higher labour standards are positively associated with foreign direct investment inflows. Concerns about "social dumping" or "a race to the bottom" on such standards appear to be mistaken. This result even holds for poor developing countries. Die Beziehung zwischen ausländischen Direktinvestitionen, das heißt...
Tipo: Working or Discussion Paper Palavras-chave: Transnational Corporations; Foreign Direct Investment; Labour Standards; Cross-Country Regression Framework; International Relations/Trade; Labor and Human Capital; F23; O19.
Ano: 2002 URL: http://purl.umn.edu/26298
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Trade and Investment Effects of Forced Labour: An Empirical Assessment AgEcon
Busse, Matthias; Braun, Sebastian.
This paper explores the international economic effects of forced labour, namely the linkages of forced labour with comparative advantage (trade) and foreign direct investment flows. It discusses several forms and the prevalence of forced labour and presents the results of empirical tests of those linkages. The results show that forced labour may enhance the endowment of unskilled labour. It can thus be expected to improve comparative advantage in unskilled-labour-intensive goods, that is, commodities where the impact of forced labour is likely to be felt most strongly. In contrast, foreign direct investment is negatively linked with forced labour. This result even holds for relatively poor developing countries. ZUSAMMENFASSUNG In dem vorliegenden Beitrag...
Tipo: Working or Discussion Paper Palavras-chave: Forced Labour; Trade; Foreign Direct Investment; Cross-Country Regression Framework; International Relations/Trade; Labor and Human Capital; F14; F23; O19.
Ano: 2002 URL: http://purl.umn.edu/26231
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