IDEAS home Printed from https://ideas.repec.org/a/mes/eaeuec/v43y2005i2p73-94.html
   My bibliography  Save this article

Growth and Convergence in European Transition Economies : The Impact of Foreign Direct Investment

Author

Listed:
  • JASMINKA SOHINGER

Abstract

Foreign direct investment (FDI), with its growth-enhancing capacity, has played a significant role in setting the transition economies onto the path of convergence with their more affluent neighbors, which is enhanced by their recent membership in one of the richest clubs in the world, the European Union. The differential impact of FDI in terms of its sectoral composition on productivity and efficiency of the host country, as well as its propensity to stimulate institution building, are changing both the economic and political landscapes in the Central and Eastern European and Baltic region. The implicit requirements that FDI poses for the receiving country together with the EU accession-driven reforms fit together in a mutually reinforcing system that is helping the goals of transition and the convergence process. The achievement of both goals is seen as the best guarantor of peace and security in the Central and Eastern European and Baltic region.

Suggested Citation

  • Jasminka Sohinger, 2005. "Growth and Convergence in European Transition Economies : The Impact of Foreign Direct Investment," Eastern European Economics, Taylor & Francis Journals, vol. 43(2), pages 73-94, March.
    • Handle: RePEc:mes:eaeuec:v:43:y:2005:i:2:p:73-94
    as

    Download full text from publisher

    File URL: http://mesharpe.metapress.com/link.asp?target=contribution&id=HAE3M070NDMRK671
    Download Restriction: Access to full text is restricted to subscribers.
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Nomman Ahmed, Mirza & Maas, Sarah & Schmitz, P. Michael, 2010. "Analysing agricultural productivity growth in a framework of institutional quality," IAMO Forum 2010: Institutions in Transition – Challenges for New Modes of Governance 52695, Leibniz Institute of Agricultural Development in Central and Eastern Europe (IAMO).
    2. Rasmus Kattai & John Lewis, 2005. "Hooverism, Hyperstabilisation or Halfway-House? Describing Fiscal Policy in Central and Eastern European EU Members," Baltic Journal of Economics, Baltic International Centre for Economic Policy Studies, vol. 5(2), pages 38-47, July.
    3. Piotr Adamczyk & Mateusz Pipień, 2022. "On the Role of Portfolio Indicators of the Capital Flows in the Convergence Processes – An Application of Systems of Regression Equations in the Case of Selected CEE Countries," Central European Journal of Economic Modelling and Econometrics, Central European Journal of Economic Modelling and Econometrics, vol. 14(3), pages 303-333, September.
    4. Kaitila, Ville, 2007. "Free Trade between the EU and Russia - Sectoral Effects and Impacts on Northwest Russia," Discussion Papers 1087, The Research Institute of the Finnish Economy.
    5. Virmantas Kvedaras, 2005. "Explanation of Economic Growth Differences in the CEE Countries: Importance of the BOP Constraint," Baltic Journal of Economics, Baltic International Centre for Economic Policy Studies, vol. 5(2), pages 48-65, July.
    6. Donny Tang, 2015. "Has the European Financial Integration Promoted the Economic Growth Among the New European Union Countries?," Research in Economics and Business: Central and Eastern Europe, Tallinn School of Economics and Business Administration, Tallinn University of Technology, vol. 7(1).
    7. Rodrigo Alegria, 2006. "Countries, Regions and Multinational Firms: Location Determinants in the European Union," ERSA conference papers ersa06p143, European Regional Science Association.
    8. Elvira Sapienza, 2009. "FDI and Growth in Central and Southern Eastern Europe," Quaderni DSEMS 12-2009, Dipartimento di Scienze Economiche, Matematiche e Statistiche, Universita' di Foggia.
    9. Ogbeifun Lawrence & Shobande Olatunji Abdul, 2020. "Causality Analysis of Disaggregated FDI Inflows on Sectorial Growth in OECD Area," Studia Universitatis „Vasile Goldis” Arad – Economics Series, Sciendo, vol. 30(4), pages 92-110, December.
    10. Rosanna Pittiglio & Filippo Reganati & Edgardo Sica, 2015. "Do Multinational Enterprises Push up the Wages of Domestic Firms in the Italian Manufacturing Sector?," Manchester School, University of Manchester, vol. 83(3), pages 346-378, June.
    11. Valentin Cojanu, 2007. "A Discussion on Competitive Groups of Countries within the European Area of Integration," South-Eastern Europe Journal of Economics, Association of Economic Universities of South and Eastern Europe and the Black Sea Region, vol. 5(2), pages 185-202.
    12. Lai, Mingyong & Wang, Hua & Zhu, Shujin, 2009. "Double-edged effects of the technology gap and technology spillovers: Evidence from the Chinese industrial sector," China Economic Review, Elsevier, vol. 20(3), pages 414-424, September.
    13. Claus-Friedrich Laaser & Klaus Schrader, 2005. "Baltic Trade with Europe: Back to the Roots?," Baltic Journal of Economics, Baltic International Centre for Economic Policy Studies, vol. 5(2), pages 15-37, July.
    14. Morten Hansen, 2005. "The Irish Growth Miracle: Can Latvia Replicate?," Baltic Journal of Economics, Baltic International Centre for Economic Policy Studies, vol. 5(2), pages 3-14, July.
    15. Muhammad Ahsan Ali Raza & Chen Yan & Hafiz Syed Mohsin Abbas & Atta Ullah, 2021. "Impact of institutional governance and state determinants on foreign direct investment in Asian economies," Growth and Change, Wiley Blackwell, vol. 52(4), pages 2596-2613, December.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:mes:eaeuec:v:43:y:2005:i:2:p:73-94. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/MEEE20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.