Firm heterogeneity and location choice of Taiwanese multinationals

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Agglomeration and productivity: Firm-level evidence from China's textile industry (2011, methodology): “To reduce the influence of fluctuation in output price on estimating productivity, the study adopts the price-adjusted measure of labor productivity developed in Aw and Lee (2008) as following.”
Post-production services and optimal integration strategies for the multinational firm (2016, methodology): “Following the idea from Aw and Lee (2008), I assume that wage-level is highest in the North and lowest in the South such that wn > wh > ws. 12 In addition to variable costs, multinational firms entering a foreign country via FDI incur the fixed investment costs of setting up plants.”