García Vega, MaríaHuergo, Elena2023-06-172023-06-1720170167-268110.1016/j.jebo.2017.07.029https://hdl.handle.net/20.500.14352/18842Research and development is largely done by multinationals (MNEs) that transfer technology to their foreign subsidiaries. Trustmight be an important determinant of the governance of technology transfers because trust can reduce the dependence of the subsidiary on the head quarters. We empirically investigate how widely held perceptions of the trustworthiness of the host economy influence international technology transfers that subsidiaries receive from their business group or from other international providers. We use firm-level data on R&D imports from foreign subsidiaries operating in Spain for the period 2005–2012, and a Eurobarometer measure oftrust between citizens of European countries. We find that subsidiaries that belong to MNEs from countries with higher trust in Spaniards have fewer technology transfers within the business group and more from international market channels than subsidiaries from countries with lower trust in Spaniards. Our results support predictions of transaction cost economics about how technology transfers are organized.engjournal articlehttp://dx.doi.org/10.1016/j.jebo.2017.07.029open accessD23L14L24O30TrustworthinessTechnology transfersR&D importsHeterogeneous firms.Desarrollo económicoEmpresasMicroeconomía5307.03 Modelos y Teorías del desarrollo Económico5307.04 Estudios del desarrollo Económico5311 Organización y Dirección de Empresas5307.15 Teoría Microeconómica