ECM65: Industrialisation and the Multinational Enterprise

Module Provider:

Economics

Number of credits:

20 [10 ECTS credits]

Level:

M

Terms in which taught:

Spring

Module Convenor:

Professor R Narula

Pre-requisites:

Co-requisites:

Modules excluded:

Module version for:

2007/8

Aims:
This module focuses on issues relating to the role of multinational enterprises (MNEs) in the process of industrialization. It will review the theory and evidence relating to how foreign direct investment affects economic structure and industrial development in host countries.

Assessable learning outcomes:
On completion of the unit students should be able to:

  • Understand the nature of foreign direct investment;
  • Appreciate the costs and benefits of MNE activity to a host country;
  • Evaluate the nature and extent of spillovers and externalities from MNE activity; .
  • Develop an understanding of the interaction between industrial policy and MNE activity, and how to best leverage investment flows for development.

  • Additional outcomes:
    Students will develop general analytical skills and will also master the ability to work independently under pressure of restricted time frames and make their own decisions on the organisation of their work. They will also develop generic skills for future employment and career development.

    Outline content:
    1. Theories of foreign direct investment and economic development.
    2. The relationship between MNE activity, trade and globalization.
    3. Concepts relating to national systems of learning and innovation, the economics of innovation, institutions and the nature of absorptive capacity.
    4. The mechanisms through which spillovers and externalities from MNE activity affect domestic industrial development.
    5. Structural change and economic development.
    6. Industrial policy in a post-WTO world as it pertains to investment issues.

    Brief description of teaching and learning methods:
    Detailed guidance on the main topics of the syllabus and key references are provided in 10 x 2 hour sessions of lectures. Students are required to do a significant amount of reading of journal articles, chapters of books, statistical sources and websites of national and international organisations. Lectures will involve considerable student input, often in the form of presentations based on allocated readings.

    Contact hours:

      Autumn Spring Summer
    Lectures 10 x 2 hours     
    Tutorials/seminars      
    Practicals      
    Other contact (eg study visits)      
           
    Total hours 20     
           
    Number of essays or assignments    
    Other (eg major seminar paper)    

    Assessment:
    Coursework
    An essay (2,500 words) and a test.

    Relative percentage of coursework
    The essay has a weight of 20% and the test has a weight of 10% in the overall assessment of the module.

    Penalties for late submission of course work will be in accordance with University Policy.

    Examination
    One two hour examination with a weight of 70% in the overall assessment of the module, taken in the Summer term.

    Requirements for a pass
    A weighted average mark of coursework and examination of 50%.

    Reassessment arrangements
    By examination only (coursework will not be included in the re-assessment) in September.

    Last updated: 15/Aug/2007

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