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The relationships between foreign direct investment (FDI), trade openness, and economic growth are complex and analyzed by many researchers. Still, there are some gaps in our knowledge as literature documents positive, negative, and ambiguous impact of FDI and trade openness on economic growth. This paper addresses one of these gaps and focuses on the similarities and differences among countries from Central and Eastern Europe and West Africa. The econometric analysis covers the 1995-2022 period and employs panel data methods to reveal the long-term positive impact of FDI and trade openness on economic growth in West African countries and long-term positive impact of FDI on economic growth in Central and Eastern European countries. We also demonstrate that apart from cross-border linkages captured by FDI and trade flows, economic growth in Central and Eastern European countries positively correlates with global economic development, however, in case of West Africa this effect is statistically insignificant. [ABSTRACT FROM AUTHOR]

This paper aims to investigate the role of foreign direct investment (FDI) on the economic development in transition countries of Central and Eastern Europe. Statistical analysis is applied to investigate the relationship between FDI indicators and some explanatory variables. Findings show that FDI stock and especially labour productivity significantly stimulate exports. Moreover, the ratio of FDI stock to GDP is found to be the most powerful driver of employment. Outcomes depend however on FDI policies. Therefore, policy-makers need to carefully consider the side effects of the measures they design, to avoid negative effects. [ABSTRACT FROM AUTHOR]

OBJECTIVE: A number of studies have dealt with the effects of economic integration on foreign direct investment, however without a comprehensive and simultaneous analysis of the overall positioning of these countries along the investment development path (IDP). In the current paper, a comparative analysis is conducted of IDPs of four Eastern European countries, both members and non-members of the European Union. The purpose of the paper is to determine the effect of economic integration on foreign direct investment (FDI) flows and on the movement of these Eastern European economies through their IDP stages. METHODS: An attempt is made to identify the positioning of the sample countries on the IDP, using trend estimation depicting the relationship between net outward investment (NOI) position per capita and gross domestic product (GDP) per capita, as well as detailed descriptive data on inward and outward FDI stocks and flows, subsequently supported with econometric analyses. RESULTS: While the findings point to a rather ambiguous effect of European Union (EU) membership on FDI growth and IDP trajectories, integration tends to exert a stronger effect on outward FDI than on inward FDI of member countries. CONTRIBUTION: The study's findings reveal the need to add new theoretical considerations to the interface between economic integration and the IDP model as well as formulate certain policy implications resulting there from. [ABSTRACT FROM AUTHOR]

In the current situation, shaped by the relocation of multinational companies following the disruption of global value chains, the efforts for attracting foreign direct investments (FDI) should be better focused on enhancing the flows that create value in the economy, stimulate the local business environment, and are destined to sectors with high value added. The aim of this paper is to identify the factors shaping competitiveness in Central and Eastern European countries that also matter for the foreign investors' decision regarding location. We have taken an innovative approach in dealing with the large range of FDI determinants and we have used the machinelearning based random forest methodology to identify the most important predictors of FDI in CEE countries from a set of 15 indicators also present in the calculation of the European Regional Competitiveness Index 2019. Our results show that countries' particularities, market size, digitalization of the economy, labour force characteristics (such as population in tertiary education and employment in knowledge-intensive services and high-tech manufacturing sectors), and economic potential market are the factors with the highest contribution in attracting FDI in the CEE region. [ABSTRACT FROM AUTHOR]

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Purpose - Tourism and FDI have contributed to a large extent to Central and Eastern European economies in recent decades. This paper investigates how successfully these two engines of growth have been stimulating the growth of these economies. Design/methodology/approach - Using a Pooled Mean Group estimation, this study investigates the short- and long-term effects of variations in the GDP shares of tourism and foreign investments on the economic growth rate. Findings - The results suggest that while tourism expansion is more effective in the short run, FDI has a significant positive impact on economic growth only in the long run. Originality - A new aspect of the present study is a comparison of the magnitude of the impacts of the GDP shares of international tourism and foreign investments on the economic growth rate in both the short and long run in the case of Central and Eastern Europe. Practical implications - Considering the economic structure of these countries, policy action plans for inclusive growth are suggested. [ABSTRACT FROM AUTHOR]

This study examines the complexity in the Eastern European economies, with a focus on the role of foreign direct investment (FDI). Despite transitioning to market economies, these countries remain economically fragile and dependent. Their lower technological complexity and reliance on foreign capacity make them vulnerable. However, some countries like Austria and Poland demonstrate successful integration of production and innovation. The analysis shows FDI has a limited impact on developing complex knowledge but contributes positively to economic complexity. Results also indicate that in the long-term, economic and technological complexity does not lead to accelerated total factor productivity growth, contrary to complexity literature. Combining labour with innovation, safeguarding local industries, and prioritizing education and research are more effective approaches. The study clearly shows how Hungary is stuck in an "assembler trap." It also finds that the gap between economic and technological complexity negatively affects liberal democracies. [ABSTRACT FROM AUTHOR]

This article analyzes the progress of the transition from the production of vehicles with internal combustion engines to the production of electric vehicles in eastern Europe. The transition is considered in the context of the development of the automotive industry in eastern Europe since the early 1990s and the relative position of the east European integrated periphery in the European automotive industry value chains and production networks. The article argues that foreign firms are driving the transition, while the role of the east European governments and local firms is much less significant. The transition is slower than in western Europe and eastern Europe will continue to produce internal combustion engine vehicles longer. Eastern Europe will continue to rely on its competitive advantage of low production costs, especially low labor costs, to continue to attract foreign direct investment in the automotive industry. The article considers the consequences of the transition for the position of east European countries in automotive value chains, production networks and the division of labor in the European automotive industry. [ABSTRACT FROM AUTHOR]