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Location Choice and Employment Decisions: A Comparison of German and Swedish Multinationals

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dc.creator Muendler, Marc-Andreas
dc.creator Jäckle, Robert
dc.creator Ekholm, Karolina
dc.creator Becker, Sascha O.
dc.date 2004
dc.date.accessioned 2013-10-16T06:56:51Z
dc.date.available 2013-10-16T06:56:51Z
dc.date.issued 2013-10-16
dc.identifier http://hdl.handle.net/10419/17798
dc.identifier ppn:495849642
dc.identifier.uri http://koha.mediu.edu.my:8181/xmlui/handle/10419/17798
dc.description Using data for German and Swedish multinational enterprises (MNEs), this paper assesses international employment patterns. It analyzes determinants of location choice and the degree of substitutability of labor across locations. Countries with highly skilled labor forces attract German MNEs, but we find no such evidence for Swedish MNEs. This is consistent with the hypothesis that German MNEs locate production stages intensive in high-skilled labor abroad. In MNEs from either country, affiliate employment tends to substitute for employment at the parent firm. At the margin, substitutability is the strongest with respect to affiliate employment in Western Europe. A one percent larger wage gap between Germany and locations in Central and Eastern Europe (CEE) is estimated to be associated with 900 fewer jobs in German parents and 5,000 more jobs in affiliates located in CEE. A one percent larger wage gap between Sweden and CEE is estimated to be associated with 140 fewer jobs in Swedish parents and 260 more jobs in affiliates located in CEE.
dc.language eng
dc.publisher Kiel Institute for the World Economy (IfW) Kiel
dc.relation Kieler Arbeitspapiere 1243
dc.rights http://www.econstor.eu/dspace/Nutzungsbedingungen
dc.subject F21
dc.subject J23
dc.subject F23
dc.subject J21
dc.subject ddc:330
dc.subject Multinational enterprises ; location choice ; multinomial choice ; labor demand ; translog cost function
dc.subject Multinationales Unternehmen
dc.subject Standortwahl
dc.subject Arbeitsnachfrage
dc.subject Arbeitskosten
dc.subject Vergleich
dc.subject Schweden
dc.subject Deutschland
dc.title Location Choice and Employment Decisions: A Comparison of German and Swedish Multinationals
dc.type doc-type:workingPaper


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