ON THE RELATIONSHIP BETWEEN FOREIGN DIRECT INVESTMENTS AND ECONOMIC GROWTH. ROMANIA IN TIMES OF CRISIS
Journal Title: CES Working Papers - Year 2014, Vol 6, Issue 3
Abstract
Foreign direct investments might be perceived as the engine of growth and economic development for both developed and developing economies. For of Romania, a country with a closed regime in the past, their role is even more important in promoting prosperity and social wealth. In the context of EU integration, Romania had benefited from a large amount of foreign direct investments coming especially from the major European economies, but such ascending trend with positive implications towards economic and social areas was all at once interrupted by the recent financial crisis. The deep recession in Romania along with numerous internal disequilibria had a negative impact on those who want to invest in this perimeter. In such circumstances the purpose of this paper is to investigate the effects of the crisis on FDI flows and consequently, on Romania’s development potential using a Granger causality analysis. The results highlight that FDI inflows have a prominent benefic influence on economic growth and that Romanian economic climate is not ready to ensure the bidirectional nexus.
Authors and Affiliations
Oana SOCOLIUC, Andreea IACOBUTA, Delia DIACONASU
Keywords
Related Articles
- EP ID EP147639
- DOI -
- Views 105
- Downloads 0
BUSINESS STRATEGIES OF THE MULTINATIONAL CORPORATIONS
The international strategic management facilitates the development of the international strategies that shape a large context for reaching the main goals of a multinational company. At a conceptual level, there are many...
THE LAW ON LOBBYING IN THE REPUBLIC OF POLAND. THEORY AND PRACTICE (2006 - 2010)
Effective functioning of the lobbying phenomenon facilitates economic development for every country. However this form of political participation can weaken economic growth if it is not properly controlled. In order to d...
The country of origin: a brake or an accelerator when buying a car
This research aims to analyse the perception of the country of origin effect on the choice of a future car by the holders of a driving license, which are already possessing a car at the present moment. To solve the resea...
PROBLEMS OF CONSUMER PROTECTION IN TOURISM
The actuality of the topic, its extent and importance, were strong arguments for writing this paper - Problems of consumer protection in tourism. To this, also the convergence of the fields that focus on the description...
FDI DETERMINANTS IN BRICS
In the past two decades the volume of Foreign Direct Investments increased substantially becoming a phenomenon that characterizes the economic environment in the emerging markets. The aim of this working paper is to inve...