Foreign small- and medium-sized enterprises and regional institutions
研究了越南2014年投资法对落后地区外国中小企业收入增长的影响，发现该政策使这些企业收入增长比对照企业高17%，且区域治理制度越强效果越明显。
This study centers upon Vietnam's Law on Investment 2014—a place-based policy that offers investment incentives for foreign firms located in disadvantaged areas. Using the difference-in-differences method for 46,211 firm-year observations 2006–2021, we find that the policy increased the revenue growth of foreign SMEs located in such areas by 17 % more than that of comparable firms located outside. The positive impact is strengthened in regions with stronger governance institutions, namely more efficient business-support services and lower policy bias. Moreover, the impact of the place-based policy combined with business support (policy bias) is stronger in southern (northern) regions embedded in pro-capitalist (pro-socialist) values.