Person: Santos Arteaga, Francisco Javier
Universidad Complutense de Madrid
Faculty / Institute
Ciencias Económicas y Empresariales
Análisis Económico y economía cuantitativa
Now showing 1 - 6 of 6
PublicationFDI entry models, development and technological spillovers(Instituto Complutense de Estudios Internacionales, 2011) Álvarez González, Isabel; Marín Sanz, Raquel; Santos Arteaga, Francisco JavierMost of the literature related to foreign direct investment in developing countries focuses on the incentives of local producers to incur in the technological development costs required to act as suppliers of multinational companies (MNC). Scarce attention has been paid to the strategic interactions derived from the potential (reciprocal) technological spillovers between local firms and MNC subsidiaries, with the recent exception of the theoretical model by Sanna-Randaccio and Veugelers (2007). Such a void in the literature is justified on the technological differences between MNC and local firms, assuming that both of them produce for totally independent markets under no direct competition conditions. If this were the case, MNC entry modes in underdeveloped countries should be independent of their level of development. We reject such a simplification illustrating empirically how entry modes depend on the development level of a given host country. Besides, this finding is justified with a theoretical proposal that generalizes the Sanna-Randaccio and Veugelers (2007) model. Our extension accounts for all the possible equilibrium scenarios jointly defined by the strategies of both the MNC and the local firms, which allows us to consider the equilibria ignored in a partial analysis and to provide a general equilibrium explanation for the evidence presented. PublicationInternational migratory agreements: the paradox of adverse interest(Springer, 2020) Alonso Rodríguez, José Antonio; Santos Arteaga, Francisco JavierThis article seeks to explain the contradiction between the promises of welfare gains derived from the economic models recommending the removal of immigration restrictions and the realities experienced by countries attempting to apply restrictions to immigration flows. A formal model is built in which the strategic reaction of countries considers not only the benefits derived from migration but also the (economic and non-economic) costs that migration can generate in the host country. Strategic reactions drive what may be called the “paradox of adverse interest”: the fewer potential gains associated with liberalization of migration, the easier it becomes for nations to reach an unrestrictive agreement. The existence of two asymmetries (between the bargaining power of receiving and sending countries, and between the private nature of most of migration’s benefits and the social nature of its main costs) can hinder the agreement when the countries involved exhibit a high wage differential. Results suggest that permissive international agreements on migration are easier to reach in regional contexts, among countries with proximate economic conditions and levels of income. PublicationBank Runs Without Sunspots(Instituto Complutense de Estudios Internacionales (ICEI), 2010-04) Santos Arteaga, Francisco JavierThe literature on bank runs reduces all coordination mechanisms triggering attacks on banks to exogenous sunspots. We present a general equilibrium version of these models where the uncertainty faced by depositors is modeled explicitly, such that bank runs arise as optimal equilibrium outcomes corresponding to Bayesian coordination games played by rational agents before depositing. Differentials in information sets between the bank and its depositors lead to rational self-contained equilibrium runs. The coexistence of different beliefs in equilibrium jointly with the self-fulfilling nature of the attacks follow from Adam Smith's invisible hand principle. The runs obtained do not violate the revelation principle. PublicationR&D internationalization and the strategic relevance of the institutional framework in host locations(Inderscience, 2016-11-28) Álvarez González, Isabel; Marín Sanz, Raquel; Santos Arteaga, Francisco JavierThe configuration of host national systems of innovation and the technological international networks established by multinational enterprises (MNE) can become key aspects for the internationalisation decision that may also concern knowledge related activities such as R&D. Through the combination of a theoretical model and empirical analysis, this paper shows to what extent institutional quality becomes a determinant factor for the attraction of foreign R&D activities, these latter being conditioned by the technological and productive capabilities of local contexts and the competitive pressures MNE face in foreign countries. Our contribution is a step further in the explanatory framework of R&D internationalisation and also provides new insights about what are the key reinforcement mechanisms for the attraction of new knowledge intensive investments. PublicationForeign Direct Investment Entry Modes, Development and Technological Spillovers(Blackwell Publishing Ltd, 2015-09) Álvarez González, Isabel; Marín Sanz, Raquel; Santos Arteaga, Francisco JavierThis paper illustrates how wholly owned entry modes of multinational companies (MNCs) are jointly determined by both the strategic objectives of the MNC and the local firms’ assets in the creation of value. In particular, the entry mode chosen is based on the potential reciprocal technological spillovers between local firms and MNC subsidiaries. M&As are preferred when host countries exhibit a certain level of development in their local systems of innovation, especially for technologically leading MNCs. Otherwise, for technological laggard MNCs, greenfield investments prevail and M&As may be carried out for meeting demand motives in developing local systems of innovation. PublicationTechnological assimilation and divergence in times of crisis(Routledge, 2016) Álvarez González, Isabel; Di Caprio, Débora; Santos Arteaga, Francisco JavierWe study an endogenous stochastic growth model whose dynamic evolution is determined by an adaptive learning process defining the accumulation of technological knowledge within countries. Both the assimilation of technological knowledge and the arrival rate of innovations depend on the technological development level of countries. We illustrate how heterogeneous levels of technological development provide laggard countries with insufficient innovation incentives, leading to divergences in total factor productivity and their technological stagnation. The model is simulated numerically using data from the current Innovation Union Scoreboard where the main expected growth patterns of the Baltic States are compared to those of the reference innovators within the European Union area.