Economics of transition vol:9 issue:3 pages:619-633
This paper uses firm-level panel data to investigate empirically the effects of foreign direct investment on the productivity performance of domestic firms in I three emerging economies of Central and Eastern Europe: Bulgaria, Romania and Poland. To this end, a unique firm-level panel dataset is used with detailed information on foreign ownership at the firm level. Two main questions are addressed in the present paper: (1) do foreign firms perform better than their domestic counterparts? (2) do foreign firms generate spillovers to domestic firms?