Foreign Direct Investment and Services Trade

Kyoji Fukao and Keiko Ito

in Trade in Services in the Asia-Pacific Region

Published by University of Chicago Press

Published in print February 2003 | ISBN: 9780226386775
Published online February 2013 | e-ISBN: 9780226386782 | DOI:
Foreign Direct Investment and Services Trade

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This chapter investigates the sales and employment of Japanese affiliates of foreign firms (JAFFs) and foreign affiliates of Japanese firms (FAJFs) in the service sector in 1995. It compares Japan's establishment transactions with Japan's cross-border transactions at the three-digit industry level and Japan's purchases of services from foreigners with that of the U.S. The analysis reveals that frequently cited foreign directive investment (FDI) statistics of Japan grossly underestimate activities of foreign affiliates in Japan.

Keywords: JAFFs; service sector; establishment transactions; cross-border transactions; U.S; foreign direct investment

Chapter.  17999 words.  Illustrated.

Subjects: Business and Management

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