Export versus FDI with Heterogenous Firms-英文文献.pdf

Export versus FDI with Heterogenous Firms∗ Elhanan Helpman Harvard University, Tel Aviv University and CIAR Marc J. Melitz Harvard University Stephen R. Yeaple University of Pennsylvania July 7, 2003 ∗The statistical analysis of firm level data on U.S. Multinational Corporations reported in this study was conducted at the International Investment Division, U.S. Bureau of Economic Analysis, under arrangement that maintained legal confidentiality requirements. Views expressed are those of the authors and do not necessarily reflect those of the Bureau of Economic Analysis. Elhanan Help- man thanks the NSF for financial support. We also thank Daron Acemoglu, Roberto Rigobon,Yona Rubinstein and Dani Tsiddon for comments on an earlier draft, and Man-Keung Tang for excellent research assistance. 1 Introduction Multinational sales have grown at high rates over the last two decades, outpacing the remarkable expansion of trade in manufactures. Consequently, the trade literature has sought to incorporate the mode of foreign market access into the ìnewî trade theory. This literature recognizes that firms can serve foreign buyers through a variety of channels: they can export their products to foreign customers, serve them through foreign subsidiaries, or license foreign firms to produce their products. Our work focuses on the firmís choice between exports and ìhorizontalî foreign direct investment (FDI). Horizontal FDI refers to an investment in a foreign production facility that is designed to serve customers in the foreign market.1 ,2 Firms invest abroad when the gains from avoiding trade costs outweigh the costs of maintaining