US Multinational Corporations Boost Domestic Firms Through Foreign Investments
The study looked at how American companies investing overseas can benefit other American companies back home. By analyzing data from U.S. multinational corporations and industry information, the researchers found that these foreign investments can have positive effects on domestic suppliers in the same industry. This suggests that policies supporting foreign investments from U.S. companies could be beneficial. The study also showed that the impact of these benefits depends on factors like whether a company exports, its size, and its ability to take in new knowledge.