Does outward foreign investment matter for Canadian productivity? : evidence from greenfield investments / by Naveen Rai, Lena Suchanek and Maria Bernier. : FB3-5/2018-31E-PDF

"Canadian firms have continued to expand their investment footprint abroad in recent years. As global value chains expand and firms continue to internationalize, outward foreign direct investment (FDI) and its implications for the domestic economy are an important subject of debate. Does the investment of Canadian firms abroad come at the cost of reduced investment, jobs and productivity in Canada as firms substitute away from domestic operations? Or do international investments help to support Canadian firms’ competitiveness as they access new markets and resources? This paper contributes to this debate by examining the impact of Canadian firms’ greenfield FDI – i.e., their foreign investments in tangible assets – on productivity"--Non-technical summary, p. 4.

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