ANALYSIS OF FOREIGN DIRECT INVESTMENT INFLUENCE ON NATIONAL ECONOMY
Raimonda Brenkevičiūtė
Abstract
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Raimonda Brenkevičiūtė
Abstract
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In the paper there were analyzed foreign direct investments (FDI) in the ten Central and East Europe countries which are included in the European Union (EU). IT is theoretically and virtually justified positive and negative FDI influence to country’s economic growth. Based on statistical data there were written up FDI dynamics in the world, Central and Eastern Europe countries. There were analyzed applications of FDI incentives. There were given the methodology which allows quantifying connection strength between GDP and FDI flows in the analyzing countries using correlation analysis. Results of analysis allow proving hypothesis (it is existing positive link between FDI and GDP inflows in the Central and East Europe countries) and enable to plan economic policy in aspect of foreign capital more exactly.
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In the paper there were analyzed foreign direct investments (FDI) in the ten Central and East Europe countries which are included in the European Union (EU). IT is theoretically and virtually justified positive and negative FDI influence to country’s economic growth. Based on statistical data there were written up FDI dynamics in the world, Central and Eastern Europe countries. There were analyzed applications of FDI incentives. There were given the methodology which allows quantifying connection strength between GDP and FDI flows in the analyzing countries using correlation analysis. Results of analysis allow proving hypothesis (it is existing positive link between FDI and GDP inflows in the Central and East Europe countries) and enable to plan economic policy in aspect of foreign capital more exactly.
Key concepts: Foreign direct investment, Foreign capital, International economics, Economics, Incentive, European union, International trade, Capital (architecture)