Search Results
Working Paper
Firm-Embedded Productivity and Cross-Country Income Differences
We measure the contribution of firm-embedded productivity to cross-country income differences. By firm-embedded productivity we refer to the components of productivity that differ across firms and that can be transferred internationally, such as blueprints, management practices, and intangible capital. Our approach relies on microlevel data on the cross-border operations of multinational enterprises (MNEs). We compare the market shares of the exact same MNE in different countries and document that they are about four times larger in developing than in high-income countries. This finding ...
Briefing
How Much Do Multinational Companies in the U.S. Depend on Immigrant Workers?
Foreign multinational firms that operate in the U.S. hire more immigrants from their home countries than from other countries, in part because they facilitate communication between the parent company and the subsidiaries in the U.S. Restrictions to immigration in the U.S. can cause the relocation of production to countries such as India and Canada. Multinational companies drive a big part of this relocation, since they are more intensive on immigrants.
Working Paper
The Multinational Wage Premium and Wage Dynamics
Using detailed administrative data linking French firms and workers over the years 2002-2007, we document a distinct U-shaped pattern in worker-level wages surrounding the time their employer is acquired by a foreign firm, with a dip in earnings observed in years just before domestic firms switch to MNE status. The dip in earnings is evident in both wages and in-kind payments given to workers. {{p}} To guide our empirical approach, we present a model with fair wage considerations among workers and endogenous cross-border acquisition activity among heterogeneous firms that predicts this ...
Journal Article
Global Profit Shifting through Intellectual Property and the Impact of US Tax Reforms
Evidence on patent transactions suggests that multinational enterprises engage in profit-shifting practices by transferring patents to tax havens.