The impact of foreign direct investment (FDI), financial market and exchange rate volatilit\ on oriented export industries' firms: the case of Vietnam during 2000-2012

Abstract

   Using a large panel data set covering oriented export manufacturing industries 'firms in Vietnamfrom 2000-2012. this paper examines whether there exist productivity: spillovers from foreigndirect investment (FDI). exchange rate volatility and financial market on the oriented exportindustries 'firms. In estimating oulpul and TFF. ue control for a possible simultaneity bias followingthe procedure ofOlley- Pokes. We consider the horizontal, vertical spillover effects ofFDLexchange rate volatility and financial market, simultaneously We find no evidence of significanthorizontal spillover effects but evidence of significant and positive forH'ard and backwardspillover effects ofFDL negative effects of exchange rate volatility- and positive effects of financialmarket.