The Impact of Foreign Direct Investment on Sectoral Adjustment in the Irish Economy

1997 ◽  
Vol 160 ◽  
pp. 76-86 ◽  
Author(s):  
Frances Ruane ◽  
Holger Görg
Keyword(s):  
Foreign Direct Investment ◽  
Direct Investment ◽  
Manufacturing Sector ◽  
Foreign Firms ◽  
Export Markets ◽  
Manufacturing Plants ◽  
Foreign Companies ◽  
Fiscal Incentives ◽  
The Republic ◽  
The Impact

Foreign direct investment (FDI) has played a crucial role in the overall development of the Irish economy over the past three decades, as the Republic of Ireland, hereafter referred to as Ireland, has pursued an industrial strategy characterised by (i) promoting export-led-growth in Irish manufacturing through various financial supports and fiscal incentives, and (ii) encouraging foreign companies to establish manufacturing plants in Ireland, producing specifically for export markets. The significance of FDI for the Irish economy is now reflected in, inter alia, the significant gap between GNP and GDP; in 1994, GNP was roughly 88 per cent of GDP in Ireland. As regards the manufacturing sector, the high shares of output and employment in foreign-owned companies in Ireland also indicate the importance of foreign firms. As we discuss in some detail in Section 3, foreign companies produced roughly 69 per cent of total net output and accounted for 45 per cent of employment in Irish manufacturing industries in 1993.

scholarly journals The Impact of Foreign Direct Investment on the Romanian Labour Market: New Evidence from a Pooled Model

2017 ◽  
Vol 10 (1) ◽  
pp. 19-34
Author(s):  
Laura Diaconu Maxim ◽  
Daniel Sterbuleac
Keyword(s):  
Foreign Direct Investment ◽  
Labour Market ◽  
Direct Investment ◽  
Added Value ◽  
Foreign Firms ◽  
Net Income ◽  
Foreign Companies ◽  
Study Results ◽  
One Year ◽  
The Impact

Abstract The present paper presents a series of results concerning the labour market impact of the foreign direct investment (FDI) inflows in Romania, during the period 2005-2014. In order to reach this objective, we have conducted both an investigation of the specialized literature and an econometric analysis, based on a pooled OLS regression. The added value of this study results from the novelty aspects brought by the results, which indicate two new roles of FDI on the Romanian labour market: a potential “gap-widening” effect between the civil employment and number of employees and a “crawling” effect on the net income. Since the results showed a positive correlation between FDI and civil employment and also between FDI and the average number of employees, the first effect suggests that most of employees of the foreign firms work there less than one year. This may explain why foreign companies are not motivated to offer their employees much higher wages than the local firms and thus that the effect of FDI on nominal net income is very small (“crawling” effect).

scholarly journals Impact of Foreign Direct Investment Inflows on Economic Growth; the Case of the Republic of Seychelles

2019 ◽  
Author(s):  
Yusheng Kong ◽  
Sampson Agyapong Atuahene ◽  
Geoffrey Bentum-Mican ◽  
Abigail Konadu Aboagye
Keyword(s):  
Economic Growth ◽  
Foreign Direct Investment ◽  
Direct Investment ◽  
Least Square ◽  
Small Island ◽  
Host Countries ◽  
Fdi Inflows ◽  
Economic Trends ◽  
The Republic ◽  
The Impact

This paper aims to research whether there is link between FDI inflows and Economic growth in the Republic of Seychelles Island. The ordinary least square results obtained shows that in the impact of FDI inflows on economic growth is low. Small Island Developing States attracts less FDI inflow because they are limited to few resources that attracts overseas firms which results in retarded development. The research lighted that impact of foreign direct investment on host countries does not only depend on the quality and quantity of the FDI inflows but some other variables such as the internal policies and the management skills, market structures, economic trends among others.

Korea’s Foreign Direct Investment in the Automotive Industry in China

China Report ◽  
2018 ◽  
Vol 54 (2) ◽  
pp. 175-193 ◽  
Author(s):  
Jungmin Lee ◽  
Jai S. Mah
Keyword(s):  
Developing Countries ◽  
Foreign Direct Investment ◽  
Technology Transfer ◽  
Automotive Industry ◽  
Direct Investment ◽  
Policy Implications ◽  
Foreign Firms ◽  
Job Opportunities ◽  
Korean Firm ◽  
The Impact

This article examines the impact of foreign-invested enterprises in the development of China’s automotive industry. It particularly focuses on the case of foreign direct investment (FDI) by a Korean firm, namely, the Hyundai Motor Company, in China. The Chinese government’s policy regarding the automotive industry allowed China’s domestic manufacturers to benefit from technology transfer, as foreign firms were not allowed to invest exclusively in China without a partnership. The contribution of Korea’s investment in China’s automotive industry would comprise the creation of job opportunities, technology transfer and the development of the automobile parts industry. Korea’s investment in the automotive industry of China has policy implications for China and other developing countries trying to expand their technology-intensive industries.

scholarly journals DOMESTIC AND FOREIGN FINANCING SOURCES IMPACT ON THE ECONOMIC DEVELOPMENT OF THE REPUBLIC OF SERBIA

2019 ◽  
pp. 145
Author(s):  
Goran Radisavljević ◽  
Goran Milovanović ◽  
Saša Bjeletić
Keyword(s):  
Economic Development ◽  
Foreign Direct Investment ◽  
Private Sector ◽  
Growth And Development ◽  
Direct Investment ◽  
Statistical Data ◽  
Contemporary Theory ◽  
Domestic Savings ◽  
The Republic ◽  
The Impact

The aim of the paper is to analyze the effects of selected sources of financing on the economic development of the Republic of Serbia in the period from 2012 to 2016 on the basis of systematized statistical data. First, the theoretical framework of domestic and foreign sources of financing and the impacts of these sources on economic development are presented from the perspective of contemporary theory. This is followed by the analysis of the impact of domestic sources of financing (domestic savings, state and private sector) on the economic development of the Republic of Serbia. Finally, the paper examines the relevance of foreign direct investment (FDI) for encouraging restructuring, competitiveness, growth, and development of the economy of the Republic of Serbia.

scholarly journals Modeling the impact assessment of agricultural sector on economic development as a basis for the country’s investment potential

2019 ◽  
Vol 16 (3) ◽  
pp. 229-240
Author(s):  
Alina Bukhtiarova ◽  
Arsen Hayriyan ◽  
Victor Chentsov ◽  
Sergii Sokol
Keyword(s):  
Economic Growth ◽  
Economic Development ◽  
Foreign Direct Investment ◽  
Direct Investment ◽  
Agricultural Sector ◽  
Negative Impact ◽  
Manufacturing Sector ◽  
Value Added ◽  
The Cost ◽  
The Impact

In the context of countries integration into the world economic space, agricultural sector is one of the priorities and strategically important sectors of the national economy. Development of instruments aimed to increase investment potential of this sector is therefore an important component of the country’s economy growth. The article proposes a science-based model of the impact of the agricultural sector on the economic development level of countries trying to move towards European integration.It was found that the employment rate (+58.4) has the largest influence on the rate of GDP change in the studied group of countries (Ukraine, Moldova, Georgia, Armenia). The impact of the gross value added of the manufacturing sector on its economic growth is positive (+44.6). The negative foreign direct investment ratio in the model (–40.3) may be due to the fact that the indicator in the studied countries is still largely influenced by the intervention of the state mechanism, significant uncertainty and risk, which is a deterrent to the overall economic development. An important result of the study was that foreign direct investment had a negative impact on economic growth in developing countries. Further development of the investment potential of a country’s agricultural sector provides for a radical acceleration of scientific and technological progress and, on this basis, a reduction in the cost of a unit of agricultural products and food and an increase in their competitiveness in the domestic and world markets.

scholarly journals Influence of external factors on foreign direct investment flows using the example of the Visegrad Group and Serbia

2021 ◽  
Vol 69 (3-4) ◽  
pp. 80-94
Author(s):  
Aleksandar Kemiveš ◽  
Lidija Barjaktarović
Keyword(s):  
Foreign Direct Investment ◽  
Direct Investment ◽  
Regional Cooperation ◽  
Business Environment ◽  
External Factors ◽  
Foreign Direct Investments ◽  
Political Risks ◽  
The Republic ◽  
The Impact ◽  
Visegrad Group

This research paper examines the impact of external factors on the dynamics of foreign direct investment (FDI) trends in specific economies. The same subject will be analyzed through the examples of the Visegrad Group and the Republic of Serbia. The aim of the research is to determine the existence of a link between the impact of foreign direct investments on the growth and development of the economy observed through gross domestic product (GDP) in the 1990-2018 period. The results of the research indicate that Poland was the most successful in attracting and keeping FDI, compared to other countries. Further, the volume of FDI has been dependent on several external factors, such as overall business environment, economic crisis, political risks, positions in relevant institutions, pandemic, etc. Moreover, for the Republic of Serbia, it will be important that all stakeholders in the country have a proactive approach in order to keep FDI in the country. Finally, representatives of the authorities should be committed to fulfilling promised deals related to the regional cooperation and EU (European Union) accession and integration.

scholarly journals Dumping The Competition, And Scarring Off Investors: The Impact And Influence Of The South African Anti-Dumping And Competition Measures On Foreign Direct Investment

2015 ◽  
Vol 14 (4) ◽  
pp. 669
Author(s):  
Omphemetse S. Sibanda
Keyword(s):  
Foreign Direct Investment ◽  
South African ◽  
Direct Investment ◽  
Competition Law ◽  
Market Size ◽  
Trade Policies ◽  
The Public ◽  
Foreign Companies ◽  
Regional Influence ◽  
The Impact

Since the dawn of democracy South Africa has embarked in a process of dismantling protectionist business and trade policies, and made the countrys stream of commerce one of the preferred globally. The countrys sound competition and trade policies, natural resource endowments, market size and regional influence, attracted foreign businesss and foreign direct invetsment (FDI). Equally the country has been under pressure to protect the domestic industries from injurious competition and business, through sector specific laws, anti-dumping and countervailing duties laws, investment and competition regime. The concern has been the likilelihood of the introduction of trade and competition barriers, and the allienation of FDI. This paper critically examines the impact the countrys antidumping and competition law and practice upon foreign direct investment. Domestic industries have never been shy file anti-dumping and anti-competition suits against foreign companies, sometimes even against the public interest outcry. Relevant examples of these suits include the famous Wal-Mart anti-competition case, and recently the Brazilian frozen fowl meat anti-dumping case.

scholarly journals Impact of Foreign Direct Investment (FDI) on Entrepreneurship Development in Jiangsu Province - China

2021 ◽  
pp. 202-212
Author(s):  
Michael Verner Menyah ◽  
Jincai Zhuang ◽  
Evelyn Sappor ◽  
Rejoice Akrashei
Keyword(s):  
Adverse Effect ◽  
Foreign Direct Investment ◽  
Direct Investment ◽  
Social Scientist ◽  
Chinese Economy ◽  
Foreign Firms ◽  
Income Source ◽  
Entrepreneurship Development ◽  
Positive Effects ◽  
The Impact

Foreign Direct Investment (FDI) has served as a huge promoter of growth for many economies over the years, playing the role of supplementary income source for economies. The trend being identified now, however is that FDIs do come with adverse effect for host economies with one of the sector feeling the impact of the adverse impact being the local entrepreneurship. This study therefore measured the severity of the adverse effect of FDIs on the economy of China whiles also evaluating the contribution of FDIs to the overall economy using Sequential Explanatory Design (SED). Using Statistical Package for Social Scientist (SPSS), the researchers conducted statistical analysis like t-test, Correlation, Multiple Regression Analysis, R-Square, F-statistics and Variance Inflator Factors (VIF). The findings of the study revealed that FDIs indeed have both positive and negative implications for the Chinese economy. The positive effects come in the form of inspiring innovation and infrastructural development, influx of investment capital and the liberalization of the economy form monopolies and unfair trading The negative effect came in the form of stifling domestic entrepreneurship development as the foreign firms compete with local entrepreneurs for market, expertise, labor, capital and space for operation

scholarly journals Foreign Direct Investment and Economic Growth in the Republic of Kosovo—Empirical Evidence

2018 ◽  
Vol 2 (4) ◽  
pp. 129
Author(s):  
Lumnije Thaçi ◽  
Merita Rushiti
Keyword(s):  
Economic Growth ◽  
Foreign Direct Investment ◽  
Direct Investment ◽  
Decision Makers ◽  
Annual Data ◽  
Basic Model ◽  
Long Time ◽  
Total Growth ◽  
The Republic ◽  
The Impact

<p><em>Whether Foreign Direct Investment (FDI) is beneficial to host country growth or not, it is a question debated since a long time (Acaravci &amp; Ozturk, 2012). This paper will examine the flow of FDI and their impact on economic growth in the Republic of Kosovo. This correlation between FDI and economic growth will be studied through regression (Quantile Regression Median). The results of the study will be obtained using multiple regression to evaluate the effect of FDI on the economy, using secondary annual data from 2007 to 2017. In addition to the basic model to be used to assess the impact of FDI on total growth amount, we have also decomposed them into the second model: FDI in manufacturing and FDI in services as well as other FDI. The research results show that the impact of total FDI and FDI in manufacturing is negative and insignificant while the impact of FDI in services and other FDI is positive but insignificant to economic growth in Kosovo. Due to the importance of FDI, as an important source of capital in a transition country such as Kosovo, these results are informational for decision-makers to improve policies in order for the country to become more attractive in attracting FDI. </em></p>

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