EXCHANGE RATE EFFECTS ON THE FOREIGN DIRECT INVESTMENT FOCUSING ON CENTRAL EUROPEAN ECONOMIES

• Authors: Mariel Petr , Pánková Václava
• Languages of publication: EN

Abstracts

EN

An explanation of short-run fluctuations in foreign direct investment (FDI) flows by exchange rate movements is based on a belief that investing foreign companies can buy another country's assets and technologies cheaply when its currency is weak. The idea of a simple model of FDI depending on higher moments of exchange rates is completed by evidence of the dynamic effects of the process in question. Relevant panel data techniques are briefly recapitulated and then applied. Data of four central European countries show results which confirm the proposed theory.

Keywords

EN

CENTRAL EUROPEAN ECONOMIES; CURRENCY; EUROPE; EXCHANGE RATE; FOREIGN DIRECT INVESTMENT

Discipline

• ECONOMICS: ECONOMICS

• Publisher: Institute of Slovak and World Economics and Institute for Forecasting, Slovak Academy of Sciences
• Journal: Ekonomický časopis (Journal of Economics)
• Year: 2010
• Volume: 58
• Issue: 2
• Pages: 176-187
• Document type: ARTICLE

Contributors

author

Mariel Petr

• University of the Basque Country, Faculty of Economics and Business Administration, Avda. Lehendakari, Aguirre, 83, 48015, Bilbao, Spain

author

Pánková Václava

• Petr Mariel, University of the Basque Country, Faculty of Economics and Business Administration, Department of Applied Economics III (Econometrics and Statistics), Avda. Lehendakari, Aguirre, 83, 48015, Bilbao, Spain

Identifiers

CEJSH db identifier

11SKAAAA093931