The Impact of FDI on Bilateral Exports: The Case of Automotive Industry in the Visegrad Countries

• Authors: Kristóf Gyódi
• Languages of publication: EN

Abstracts

EN

This analysis presents the effect of foreign direct investments in the automotive industry on the automotive exports of the Visegrad countries. The econometric analysis is based on the gravity model of trade. The author uses panel data to estimate variables that impact the automotive export. The data consists of the bilateral flows of trade and investments between the Visegrad countries and the other members of the OECD. The empirical analysis shows a positive correlation between the value of the FDI stock in the car industry and the automotive exports to the country of origin of investment. The results of the analysis prove that the Visegrad countries export a significant part of their automotive production to the home countries of the investing MNCs.

Keywords

EN

Foreign Direct Investment; Visegrad countries; automotive industry; export; OECD; restructuring

• Publisher: Wydział Nauk Ekonomicznych Uniwersytetu Warszawskiego
• Journal: Ekonomia. Rynek, Gospodarka, Społeczeństwo
• Year: 2014
• Issue: 37
• Pages: 57-76

Contributors

author

Kristóf Gyódi

• Faculty of Economic Sciences, University of Warsaw