The Multinational Firm in the Global Economy

KS The Multinational Firm in the Global Economy (239.503, 4 ECTS).

The goal of this course is to gain a basic understanding of the theory on multinational firms and foreign direct investment (FDI) and to become familiar with the main empirical findings on multinational firms and FDI. After the course you should be able to explain the main concepts and theories and empirical findings from the literature and apply them to current problems. We cover the following themes, following the book used for the course (see below).

Introduction

Overview: concepts, theory, and empirical findings [slides]

Determinants of horizontal foreign direct investment (HFDI) [slides]

The effect of HFDI on the host economy [slides]

Vertical foreign direct investment (VFDI) [slides] [media: voestalpine]

Internalization versus outsourcing [slides]

Assessment

Grading will be based on problem sets (20%) and a final exam (80%). A minimum of 50% of the total is necessary for passing the course.

Readings

Barba Navaretti, Giorgio and Anthony J. Venables (2006), Multinational Firms in the World Economy, Princeton University Press.

Language

The course is taught in English.

Prerequisites

Good knowledge in microeconomic theory, mathematics for economists and econometrics.

Time and Place

See information in KUSSS (Kepler University Study Support System).

Lecturer

Karin Mayr-Dorn (karin.mayr-dorn@jku.at). Office room number K103A, Keplergebäude, 1st floor. Office hours: by appointment.