Publication:
Gifted Kids or Pushy Parents? Foreign Acquisitions and Plant Performance in Indonesia

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dc.contributor.authorArnold, Jens Matthias
dc.contributor.authorJavorcik, Beata Smarzynska
dc.date.accessioned2012-06-25T15:40:14Z
dc.date.available2012-06-25T15:40:14Z
dc.date.issued2005-05
dc.description.abstractThis paper uses micro data from the Indonesian Census of Manufacturing to analyze the causal relationship between foreign ownership and plant productivity. To control for the possible endogeneity of the FDI decision, the difference in differences approach is combined with a matching technique. An advantage of this novel method is the ability to follow the timing of the observed changes in productivity and other aspects of plant performance. The results suggest that foreign ownership leads to significant productivity improvements in the acquired plants. The improvements become visible in the acquisition year and continue in the subsequent periods. After three years, the acquired plants outperform the control group in terms of productivity by 34 percentage points. The data also suggest that the rise in productivity is a result of restructuring, as acquired plants increase their investment outlays, employment, and wages. Foreign ownership also appears to enhance the integration of plants into the global economy through increased exports and imports.en
dc.identifierhttp://documents.worldbank.org/curated/en/2005/05/5800547/gifted-kids-or-pushy-parents-foreign-acquisitions-plant-performance-indonesia
dc.identifier.doi10.1596/1813-9450-3597
dc.identifier.urihttps://hdl.handle.net/10986/8935
dc.languageEnglish
dc.language.isoen_US
dc.publisherWorld Bank, Washington, DC
dc.relation.ispartofseriesPolicy Research Working Paper; No. 3597
dc.rightsCC BY 3.0 IGO
dc.rights.holderWorld Bank
dc.rights.urihttp://creativecommons.org/licenses/by/3.0/igo/
dc.subjectACCOUNTING
dc.subjectAFFILIATES
dc.subjectASSETS
dc.subjectBANK LOANS
dc.subjectCAPACITY UTILIZATION
dc.subjectCOMMODITIES
dc.subjectCONSTANT RETURNS TO SCALE
dc.subjectCREDIT CONSTRAINTS
dc.subjectDEFLATION
dc.subjectDEFLATORS
dc.subjectDEVELOPED COUNTRIES
dc.subjectDEVELOPING COUNTRY CONTEXT
dc.subjectDIRECT INVESTMENT INFLOWS
dc.subjectDOMESTIC ENTERPRISES
dc.subjectDOMESTIC FIRMS
dc.subjectECONOMIC POLICY
dc.subjectECONOMISTS
dc.subjectEMERGING MARKETS
dc.subjectEMPIRICAL EVIDENCE
dc.subjectEMPLOYMENT
dc.subjectEXPORTS
dc.subjectFINANCIAL CRISIS
dc.subjectFINANCIAL INSTITUTIONS
dc.subjectFIXED ASSETS
dc.subjectFOREIGN AFFILIATES
dc.subjectFOREIGN CAPITAL
dc.subjectFOREIGN DIRECT INVESTMENT
dc.subjectFOREIGN FIRMS
dc.subjectFOREIGN INVESTMENT
dc.subjectFOREIGN INVESTORS
dc.subjectFOREIGN OWNERSHIP
dc.subjectFOREIGN-OWNED FIRMS
dc.subjectGDP
dc.subjectGLOBAL ECONOMY
dc.subjectHOST COUNTRIES
dc.subjectHOST COUNTRY
dc.subjectIMPORTS
dc.subjectINDUSTRIALIZATION
dc.subjectINTANGIBLE ASSETS
dc.subjectINTERNATIONAL TRADE
dc.subjectINVENTORY
dc.subjectLABOR PRODUCTIVITY
dc.subjectMANUFACTURING SECTOR
dc.subjectMANUFACTURING SECTORS
dc.subjectMERGERS
dc.subjectMETALS
dc.subjectOIL
dc.subjectPATENTS
dc.subjectPERFORMANCE ANALYSIS
dc.subjectPRODUCT DIFFERENTIATION
dc.subjectPRODUCTION FUNCTION
dc.subjectPRODUCTION FUNCTIONS
dc.subjectPRODUCTIVITY
dc.subjectPRODUCTIVITY GROWTH
dc.subjectSECURITIES
dc.subjectSUBSIDIARIES
dc.subjectSUBSIDIARY
dc.subjectTECHNICAL ASSISTANCE
dc.subjectTECHNOLOGICAL SOPHISTICATION
dc.subjectTECHNOLOGY TRANSFER
dc.subjectTOTAL FACTOR PRODUCTIVITY
dc.subjectTOTAL FACTOR PRODUCTIVITY GROWTH
dc.subjectTRADE BARRIERS
dc.subjectVALUATION
dc.subjectVALUE ADDED
dc.subjectWAGES
dc.subjectWHOLESALE PRICE INDEX
dc.titleGifted Kids or Pushy Parents? Foreign Acquisitions and Plant Performance in Indonesiaen
dspace.entity.typePublication
okr.crossref.titleGifted Kids Or Pushy Parents? Foreign Acquisitions And Plant Performance In Indonesia
okr.date.doiregistration2025-04-10T09:54:49.471860Z
okr.doctypePublications & Research::Policy Research Working Paper
okr.doctypePublications & Research
okr.docurlhttp://documents.worldbank.org/curated/en/2005/05/5800547/gifted-kids-or-pushy-parents-foreign-acquisitions-plant-performance-indonesia
okr.globalpracticeTrade and Competitiveness
okr.guid651191468268823399
okr.identifier.doi10.1596/1813-9450-3597
okr.identifier.externaldocumentum000090341_20050515144920
okr.identifier.internaldocumentum5800547
okr.identifier.reportWPS3597
okr.language.supporteden
okr.pdfurlhttp://www-wds.worldbank.org/external/default/WDSContentServer/WDSP/IB/2005/05/15/000090341_20050515144920/Rendered/PDF/wps3597.pdfen
okr.region.administrativeEast Asia and Pacific
okr.region.countryIndonesia
okr.region.geographicalAsia
okr.topicInternational Economics and Trade::Foreign Direct Investment
okr.topicEconomic Theory and Research
okr.topicBanks and Banking Reform
okr.topicEnvironmental Economics and Policies
okr.topicInternational Terrorism and Counterterrorism
okr.topicInternational Economics and Trade
okr.unitDevelopment Research Group (DECRG)
okr.volume1 of 1
relation.isAuthorOfPublication297c6b59-a642-54ee-b165-d97c8f56b403
relation.isAuthorOfPublication.latestForDiscovery297c6b59-a642-54ee-b165-d97c8f56b403
relation.isSeriesOfPublication26e071dc-b0bf-409c-b982-df2970295c87
relation.isSeriesOfPublication.latestForDiscovery26e071dc-b0bf-409c-b982-df2970295c87
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