multinational enterprises in the global economy90% mne activities at home and abroad almost...
TRANSCRIPT
May 2018
Multinational enterprises in the global economy
Heavily debated but hardly measured
The OECD analytical AMNE database
MNEs now and in the past
Why FDI and MNE data do not measure the same
Activities under foreign control
Growing production by foreign affiliates
Important differences across regions and countries…
0%
2%
4%
6%
8%
10%
12%
14%
16%
0
5
10
15
20
25
output by foreign affiliates (left axis) output share by foreign affiliates (right axis)
… as well as industries
Foreign affiliates are different from domestic companies
70%
17%
13%
93%
3% 3%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
OECD BRIICS Rest of the world
inward 2014 outward 2014 : 2000
MNE activities at home and abroad
Almost one-third of global production is done by MNEs
67%
90%
33%
10%
Foreign affiliatesDomestic firms
Exports
Domestic sales
75%89%
25%11%
Foreign affiliatesDomestic firms
Foreign value-added
Domesticvalue-added
39%48%
61%52%
Foreign affiliatesDomestic firms
Intermediateinputs
Value-added
MNEs also account for half of global exports, almost one-third of world GDP and about one-fourth of employment
100
World
output
Domestic
MNE
Foreign
affiliates
21
67
12
33
Domestic-
owned firms
MNE
A number of (policy) considerations
12 10
31 28
7
2118
2421
16
6772
4451
77
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
output GDP exports imports employment
foreign affiliates domestic MNEs domestic non-MNEs
Further reading