S-WoPEc
 
Scandinavian Working Papers in Economics
HomeAboutSeriesSubject/JEL codesAdvanced Search
Research Institute of Industrial Economics (IFN) Working Paper Series

No 523:
Swedish Multinationals and Competition from High- and Low-Wage Locations

Henrik Braconier and Karolina Ekholm ()

Abstract: This study uses data on Swedish multinationals to estimate cross elasticities of labour demand in different locations. With a vertical decomposition of the firm's activities, whether there is substitution or complementarity between employment in different parts of the firm will depend on whether wage changes lead to a relocation of activities or simply to changes in marginal costs and/or demand for inputs in other parts of the firms. We find that there is some evidence of a substitutionary relationship between employment in the Swedish parts of the firms and employment in other high-income locations, but we do not find any evidence of substitution stemming from employment in low-income locations. We find mainly a relationshipof complementarity between employment in different affiliates.

Keywords: Labour demand; Multinational firms; Vertically integrated firms; (follow links to similar papers)

JEL-Codes: F23; J23; (follow links to similar papers)

29 pages, November 1, 1999

Before downloading any of the electronic versions below you should read our statement on copyright.
Download GhostScript for viewing Postscript files and the Acrobat Reader for viewing and printing pdf files.

Full text versions of the paper:

iuiwop0523.pdf.zip    PDF-file (zipped) (142kB) 
iuiwop0523.pdf    PDF-file (176kB) 
Download Statistics
This paper is published as:
Braconier, Henrik and Karolina Ekholm, (2000), 'Swedish Multinationals and Competition from High- and Low-Wage Locations', Review of International Economics, Vol. 8, No. 3, pages 448-461



Questions (including download problems) about the papers in this series should be directed to Elisabeth Gustafsson ()
Report other problems with accessing this service to Sune Karlsson () or Helena Lundin ().

Programing by
Design by Joachim Ekebom

Handle: RePEc:hhs:iuiwop:0523 This page was generated on 2014-12-14 19:24:08