concluded that the effect of a large new foreign investment in South Carolina on aggregate wage levels was so large that it could not have been solely the result of the high employee wages in the foreign-owned plants but must have involved spillovers to domestically owned plants.
Other subsequent studies have reported more evidence that wage spillovers occur.
They do not include the information that some of the cross-section estimates for Mexico and Venezuela also give negative coefficients for spillovers, suggesting that the choice of cross-section or panel estimation may not be so crucial.
review six studies on wage spillovers and report that of those with conclusions, three panel studies found negative spillovers and two cross-section studies found positive ones.