Foreign Direct Investment in the Real and Financial Sector of Industrial Countries

Foreign Direct Investment in the Real and Financial Sector of Industrial Countries

Springer Berlin Heidelberg New York Hong Kong London Milan Paris Tokyo

Heinz Herrmann. Robert Lipsey (Editors) Foreign Direct Investment in the Real and Financial Sector of Industrial Countries With 41 Figures and 85 Tables " Springer

Dr. Heinz Herrmann Deutsche Bundesbank Wilhelm-Epstein-StraBe 14 60431 Frankfurt am Main Germany heinz.herrmann@bundesbank.de Robert Lipsey Director, New York Office NBER 365 Fifth Avenue, 5 th Floor New York, NY 10016-4309 USA rlipsey@gc.cuny.edu ISBN 978-3-642-53437-9 ISBN 978-3-540-24736-4 (ebook) DOI 10.1007/978-3-540-24736-4 Cataloging-in-Publication Data applied for A catalog record for this book is available from the Library of Congress. Bibliographic information published by Die Deutsche Bibliothek Die Deutsche Bibliothek lists this publicat ion in the Deutsche Nationalbibliografie; detailed bibliographic data is available in the Internet at <http://dnb.ddb.de>. This work is subject to copyright. AII rights are reserved, whether the whole or part of the material is concerned, specifically the rights of translation, reprinting, reuse of illustrations, recitation, broadcasting, reproduction on microfilm or in any other way, and storage in data banks. Duplication of this publication or parts thereof is permitted only under the provisions of the German Copyright Law of September 9, 1965, in its current version, and permission for use must always be obtained from Springer-Verlag. Violations are liable for prosecution under the German Copyright Law. Springer-Verlag Berlin Heidelberg New York a member of BertelsmannSpringer Science+Business Media GmbH http://www.springer.de Springer-Verlag Berlin Heidelberg 2003 Softcover reprint ofthe hardcover Ist edition 2003 The use of general descriptive names, registered names, trademarks, etc. in this publicat ion does not imply, even in the absence of a specific statement, that such names are exempt from the relevant protective laws and regulations and therefore free for general use. Hardcover-Design: Erich Kirchner, Heidelberg SPIN 10913109 42/3130-5 4 3 2 1 0- Printed on acid-free paper

Contents Foreign Direct Investment in the Real and Financial Sector of Industrial Countries: A Summary Heinz Herrmann and Robert E Lipsey Chapter 1 Host-Country Determinants of U.S. Foreign Direct Investment into Europe Matthew J. Slaughter Karolina Ekholm 7 33 Chapter 2 The Economics of Foreign Direct Investment Incentives Magnus Blomstrom and Ari Kokko Jean-Louis Mucchielli 37 57 Chapter 3 Chains of Ownership, Regional Tax Competition, and Foreign Direct Investment Mihir A. Desai, C. Fritz Foley and James R. Hines Jr. 61 Chapter 4 Fiscal Policies, European Integration and Structural Changes in the Location of German Foreign Direct Investment Nigel Pain Ulrich Grosch 99 137

VI Contents ChapterS Ownership, Capital or Outsourcing: What Drives German Investment to Eastern Europe? Dalia Marin, Andzelika Lorentowicz and Alexander Raubold 147 Chapter 6 Is there a Potential for Increases in FDI for Central and Eastern European Countries Following EU Accession? Holger Gorg and David Greenaway Christian Wey 165 184 Chapter 7 EU Accession and Prospective FDI Flows to CEE Countries: A View from Ireland Frank Barry Robert E. Lipsey 187 209 ChapterS A "new" Micro Database for German FDI Alexander Lipponer 215 Chapter 9 Foreign Direct Investment: Who Cares about Ownership? Colin Mayer Stijn Claessens 245 269

Contents VII Chapter 10 Determinants of Cross-Border Mergers in European Banking Philip Molyneux Ben Craig 273 291 Chapter 11 Cross-border Mergers in European Banking and Bank Efficiency Rudi Vander Vennet Reint Gropp 295 316 Chapter 12 Determinants of Cross-Border Bank Mergers: Is Europe Different? Claudia M. Buch and Gayle DeLong Adrian E. Tschoegl 323 349 Notes on Contributors 365