Empirical studies on FDI and growth in developed countries have yielded conflicting results using cross-country regressions. We use sectoral data for a group of six country members of the Organization for Economic Cooperation and Development. Our paper is the first to identify the...

The present paper is based on a complex analysis of the results from a survey of seven subsidiaries of multinational corporations (MNCs), which entered the Polish market in the early nineties, and focuses on the motives and modes of setting up these subsidiaries. The survey design has been based...

This study focuses on the implications of current account deficit upon the external debt increase in Romania, revealing higher risks for the sustainability of its international financial position. Considering the trade deficit as a main cause of current account balance deterioration, several...

The neoclassical theory of economic growth suggests that capital inflows raise the speed of convergence because foreign financial capital is transformed into physical capital. We propose a new methodology to quantify the size of capital inflows which are transformed into physical capital. We use...

When we speak about the significance of foreign direct investments (FDI) for the transition economies of Southeastern Europe, we mainly think of two important effects of FDI: effect on economic growth and effect on export performances. Both economic features (growth and export performance) are...

Recent theoretical and empirical literature suggests that foreign direct investment (FDI) exerted positive impact on economic growth through the process of technological diffusion. The literature also suggests that the development of the domestic financial system of the host country is an...

Since the early 1990s the Indian economy has seen a considerable relaxation of controls, as a consequence of which it has witnessed unprecedented growth. This is especially remarkable in the external sector. In this paper I evaluate the progress made on the macroeconomic front and address the...

Significant inflows of foreign direct investment (FDI) in Romania’s recent years have been accompanied by en excessive enthusiasm, originated in their association with an outstanding economic growth. The aim of this paper is to show the contribution of FD

This paper examines empirically whether and how regional integration leads to convergence and growth amongst developing countries. Using standard growth models for nearly 100 developing countries over 1970-2004 we cannot establish robust growth effects of regional integration as such at the...

In this study, the effects of foreign direct investments and exports on Turkey’s economic growth are analyzed via bounds testing approach by using 1992:Q1-2012:Q3 period data. According to empirical findings, series were found to be cointegrated. In the long and short run analysis, the...