Open Access. Powered by Scholars. Published by Universities.®
- Discipline
Articles 1 - 2 of 2
Full-Text Articles in Entire DC Network
Do Foreign Companies Pay Higher Wages Than Their Local Counterparts In Malaysian Manufacturing?, David Lim
Do Foreign Companies Pay Higher Wages Than Their Local Counterparts In Malaysian Manufacturing?, David Lim
Support & Other Units (THEi)
This paper shows that foreign companies pay higher wages than their local counterparts in Malaysian manufacturing. Step-wise regression analysis shows that this is due to two factors. The first, and perhaps the more important, is the greater capital intensity of the production processes used by foreign companies. The second is their tendency to pay wages that they consider, or that are considered to be, commensurate with the wages that they pay in their home countries. This may be called the demonstration effect of wage remuneration in less developed countries.
Capital Utilisation Of Local And Foreign Establishments In Malaysian Manufacturing, David Lim
Capital Utilisation Of Local And Foreign Establishments In Malaysian Manufacturing, David Lim
Support & Other Units (THEi)
It is often argued that foreign firms operating in less developed countries have greater X-efficiency than their local counterparts. However, little empirical evidence has been presented to substantiate this claim. This paper attempts to fill part of this gap, first, by presenting data on the level of capital utilisation in Malaysian and foreign firms in Malaysian manufacturing and, second, by testing the importance of X-efficiency in determining differences in the utilisation levels of the two categories of firms...