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The Automotive Industry in Central and Eastern Europe – Engine of Grow or Free Rider?Peter R. HaissWU Vienna University of Economics and Business; UniCredit Bank Austria; IES Vienna - Institute for the International Education of Students Bernhard MahlbergInstitute for Industrial Research (IWI); Vienna University of Economics and Busines- Institute for Export Management Michael MollingFebruary 28, 2009 Oxford Business and Economics Conference (OBEC), Oxford University, UK, June 24-26, 2009 Abstract: The impact of FDI onto host countries economies is heavily debated, particularly for transition economies. However, sectoral research is scarce. Building on Aristotelous and Fountas (1996) and using data from automobile manufacturers associations (OICA and ACEA), we analyze the impact of automotive FDI on exports and GDP growth for five transition economies over the 1995-2006 period. We find that automotive FDI triggered economic growth in several CEE countries, though at varying degrees.
Number of Pages in PDF File: 27 Keywords: Sectoral FDI, Foreign Direct Investment, Automotive Industry, Transition Economies, CEESEE, Panel Data Analysis JEL Classification: E22, F15, F21, F23, F36, L62, M21, O11, O52, P31 Accepted Paper SeriesDate posted: April 11, 2011Suggested CitationContact Information
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