Temporary Investment Incentives and Divestment by Foreign Firms

Détails

ID Serval
serval:BIB_AA5877A00AA5
Type
Actes de conférence (partie): contribution originale à la littérature scientifique, publiée à l'occasion de conférences scientifiques, dans un ouvrage de compte-rendu (proceedings), ou dans l'édition spéciale d'un journal reconnu (conference proceedings).
Sous-type
Abstract (résumé de présentation): article court qui reprend les éléments essentiels présentés à l'occasion d'une conférence scientifique dans un poster ou lors d'une intervention orale.
Collection
Publications
Titre
Temporary Investment Incentives and Divestment by Foreign Firms
Titre de la conférence
Academy of Management Proceedings
Auteur⸱e⸱s
Mata J., Guimaraes P.
Editeur
The Academy of Management
ISSN
0065-0668
1543-8643
Statut éditorial
Publié
Date de publication
01/01/2013
Peer-reviewed
Oui
Volume
2013
Numéro
1
Pages
13919-13919
Langue
anglais
Résumé
Many countries provide temporary incentives for attracting foreign investment, in the belief that these temporary benefits may entice these firms to remain in the country. Using a unique data set on U.S. firms that were established in Puerto Rico under a temporary investment incentive program, we are able to evaluate the impact of terminating or reducing these benefits upon the exit decision by these firms. The program contemplated different benefit schedules in different locations and reduction of benefits every five years. Our results indicate that whenever benefits are reduced the probability of firm exit increases. This effect is more pronounced for firms coming from countries which are well acquainted with the host country, for firms making less sunk investments and those investing in areas that do not grow much.
Création de la notice
15/02/2018 11:35
Dernière modification de la notice
20/08/2019 15:14
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