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The Effects of Enhancing Competitiveness on FDI Inflows in CEE Countries

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  • CĂLIN Adrian Cantemir
  • POPOVICI Oana Cristina

Abstract

The objective of this paper is to identify how an increase in competitiveness could improve FDI in ten Central and Eastern European (CEE) countries. For assessing competitiveness, we employ the variables used by World Economic Forum in designing the Global Competitiveness Index and find that half of the analyzed countries could see the most important increases in FDI/capita if making institutions more competitive, four other countries should accelerate on improving innovation and infrastructure while another country should work on labour market efficiency. We also calculate the potential increase in FDI/capita due to similar changes in different competitiveness variables.

Suggested Citation

  • CĂLIN Adrian Cantemir & POPOVICI Oana Cristina, 2015. "The Effects of Enhancing Competitiveness on FDI Inflows in CEE Countries," European Journal of Interdisciplinary Studies, Bucharest Economic Academy, issue 01, March.
    • Handle: RePEc:jis:ejistu:y:2015:i:01:id:393
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    Cited by:

    1. Popescu Liviu & Brostescu Simina & Sitnikov Catalina & Vasilescu Laura, 2023. "Determinants of FDI Stock in Some Central European Countries," JRFM, MDPI, vol. 16(3), pages 1-31, March.
    2. VASYECHKO Olga, 2021. "A Triad of Driving Forces Behind FDI Patterns," European Journal of Interdisciplinary Studies, Bucharest Economic Academy, issue 01, March.
    3. Mehmed GANIĆ & Mahir HRNJIC, 2019. "Does a country’s business regulatory environment affect its attractiveness to FDI? Empirical evidence from Central and Southeast European countries," Eastern Journal of European Studies, Centre for European Studies, Alexandru Ioan Cuza University, vol. 10, pages 89-105, December.
    4. Dewa Gede Sidan Raeskyesa & Reinardus Adhiputra Suryandaru, 2020. "Competitiveness and FDI Inflows in ASEAN Member Countries," International Journal of Business and Economic Sciences Applied Research (IJBESAR), Democritus University of Thrace (DUTH), Kavala Campus, Greece, vol. 13(1), pages 14-20, April.

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    More about this item

    Keywords

    foreign direct investment; competitiveness; Central and Eastern Europe;
    All these keywords.

    JEL classification:

    • F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business
    • H11 - Public Economics - - Structure and Scope of Government - - - Structure and Scope of Government
    • O52 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Europe

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