Estimating the Effect of FDI on Economic Growth for 13 Countries of Central and Eastern Europe

2006 ◽  
pp. 81-140
Keyword(s):  
Economic Growth ◽  
Eastern Europe ◽  
Central And Eastern Europe

scholarly journals Economic Development and Growth in Central and Eastern Europe

2021 ◽  
Vol 24 (4) ◽  
pp. 69-84
Author(s):  
Csilla Polster
Keyword(s):  
Economic Growth ◽  
European Union ◽  
Eastern Europe ◽  
Central And Eastern Europe ◽  
Driving Forces ◽  
Developed Countries ◽  
Eastern European ◽  
The European Union ◽  
Migration Activity ◽  
Member States

The study investigates the economic growth in Central and Eastern Europe in the last 25 years. The economy can be regarded as a substantial topic in any country, but it is even more interesting in developing countries. One of the basic ideas of the European Union is the convergence between member states, namely the reduction of development disparities, which can be achieved through faster economic growth in less‑developed countries. Growth theory is one of the main topics in economics. Its significant importance is because the desire for development is one of the main driving forces of mankind. The aim of the study is to reveal the crucial differences and common features between the growth paths of the eleven Central and Eastern European member states of the European Union. After presenting growth theories, the growth performance of the examined Central and Eastern European member states is pinpointed. During the research, GDP per capita, population, migration, activity rate, employment rate, unemployment rate, foreign direct investment and foreign trade openness are considered.

scholarly journals Comparison Of Patterns Of Convergence Among “Emerging Markets” Of Central Europe, Eastern Europe And Central Asia

2015 ◽  
Vol 18 (1) ◽  
pp. 5-23 ◽  
Author(s):  
Joanna Poznańska ◽  
Kazimierz Poznański
Keyword(s):  
Economic Growth ◽  
Economic Theory ◽  
Emerging Markets ◽  
Eastern Europe ◽  
Emerging Economies ◽  
Central And Eastern Europe ◽  
The Other ◽  
Catching Up ◽  
Advanced Economies ◽  
Growth Indicators

Based on analysis of economic growth indicators for 1989-2014, this article distinguishes the “emerging markets” of Central and Eastern Europe (with Russia included), from the other economies that fall in the broad ‘emerging markets’ category. Following the post–1989 reforms, the countries of the region share many of the same typical institutional features as other “emerging economies”, but not necessarily the associated economic outcomes. What characterizes “emerging economies” is that they grow fast enough to systematically close the distance dividing them from the advanced economies, creating convergence. Departing from this pattern, Central and Eastern Europe (and Russia) have so far fallen short in terms of the growth rates, and the region as a whole has not made much progress in catching up. By more than doubling its national product Poland is the only notable exception in the region, although Slovenia may fit in the same category. At the other extreme, some of the economies actually lost two decades in terms of reducing the gaps, and some even fell further behind (e.g., Serbia, Ukraine). These findings have potentially serious implications for economic theory in general and for the presumption that globalization processes act as a unifying developmental force.

scholarly journals Fiscal policy and economic growth: Evidence from Central and Eastern Europe

2021 ◽  
Vol 7 (2) ◽  
pp. 146-159
Author(s):  
D. Stoilova ◽  
◽  
I. Todorov ◽  
Keyword(s):  
Economic Growth ◽  
European Union ◽  
Eastern Europe ◽  
Central And Eastern Europe ◽  
Union Member ◽  
Tax Revenue ◽  
Government Consumption ◽  
Member States ◽  
European Union Member States ◽  
Direct Tax

This study aims to estimate the impact of three fiscal instruments (direct tax revenue, indirect tax revenue and government consumption expenditure) on the economic growth of ten new European Union member states from Central and Eastern Europe– Bulgaria, Czechia, Estonia, Hungary, Latvia, Lithuania, Poland, Romania, Slovakia and Slovenia. We examine the hypothesis about the effect of expansionary fiscal policy on economic growth. The study employs a vector autoregression and annual Eurostat data for the period 2007–2019. Four control variables (the shares of gross capital formation, household consumption, exports in GDP, and the economic growth in the euro area) are included in the model to account for the influence of non-fiscal factors on economic growth. The empirical results indicate that the real output growth rate in the ten new member states of the European Union is negatively affected by direct tax revenue, while economic growth in the euro area, exports and gross capital formation are positively related to economic growth. The results also imply that government consumption and indirect tax revenue have no significant impact on the growth rate of real output of the ten studied countries from Central and Eastern Europe. It may be inferred that policymakers in the new European Union member states can raise economic growth by encouraging exports and investment and by lowering the share of direct tax revenue in GDP. From the three analyzed fiscal instruments (direct taxes, indirect taxes and government consumption expenditure), only one has proven to be effective in the case of the new member countries.

Sign in / Sign up

Export Citation Format

Share Document