Information Environment and the Investment Decisions of Multinational Corporations
研究发现，外国子公司所在行业国家的信息环境越透明，其投资决策对当地增长机会的反应越灵敏，且这种效应在母子公司跨境摩擦较大或母公司参与决策较多时更强。
ABSTRACT This paper examines how the external information environment in which foreign subsidiaries operate affects the investment decisions of multinational corporations (MNCs). We hypothesize and find that the investment decisions of foreign subsidiaries in country-industries with more transparent information environments are more responsive to local growth opportunities than are those of foreign subsidiaries in country-industries with less transparent information environments. Further, this effect is larger when (1) there are greater cross-border frictions between the parent and subsidiary, and (2) the parents are relatively more involved in their subsidiaries' investment decision-making process. Our results suggest that the external information environment helps mitigate the agency problems that arise when firms expand their operations across borders. This paper contributes to the literature by showing that the external information environment helps MNCs mitigate information frictions within the firm. JEL Classifications: D83; G31; M41. Data Availability: Data are available from public sources identified in the paper.