Do Ukrainian Firms Benefit from FDI?

All countries are eager to attract as much foreign direct investments (FDI) as possible. At the same time FDI may have not only positive, but also negative economic effects for receiving countries. Positive effects are associated with technology transfer, efficient allocation of resources, and training of domestic workers. However, the entry of foreign firms could, e.g., lead to a decrease of labor productivity at domestic firms, which is a negative effect. The main purpose of this paper is to estimate direct and indirect effects of FDI. First, we test for direct influence of foreign direct investments on firms’ performance, where the latter is estimated alternatively as labor productivity and as exports. FDI notably increases both labor productivity and export volumes. Second, we look for spillover or indirect effects. There is statistical evidence that the levels of FDI in certain regional industries are associated with higher performance indicators of firms’ not receiving FDI in those same regional industries.     

Writing las dissertations,part one: the rationale for an experimential research project

This article describes the impetus for a research project conducted during 2002–2003 into our law students' experiences of undertaking a dissertation module. It also discusses the rationale for the particular methodology and approach we have used to conduct this research, and presents the results. A driving force behind this research project was not only the desire to obtain knowledge for its own sake but also the need to identify and enhance positive aspects of students' experience of this module. We decided to adopt a student led and experiential method of carrying out our research that focuses directly upon the students' lived-experience of engaging in dissertation writing. The rationale for this decision was our acknowledgement that, within the last decade, students are increasingly defining themselves as consumers of educational services and have a legitimate and indeed pivotal role in quality assurance strategies. We also recognised that adopting an experiential method of inquiry, informed by a phenomenological approach, should, in principle, help to empower students by acknowledging their autonomy and encouraging them to engage in critical reflection. Finally, applying this methodology would provide us with precisely the subjectively rich type of research data derived from the students' lived-experience that we sought. This revised version was published online in July 2006 with corrections to the Cover Date.     

The one-third rule: Learning about the net economic benefit of a subsidy from a single observation

The subsidization of a natural monopoly is justified on welfare-economic grounds if the resulting total economic surplus exceeds total costs. Using rather standard assumptions, a simple check, managing with a minimum of information and, in particular, without virtually any knowledge of the demand curve, is developed which is capable of confirming an existing economic case for subsidization.