Original scientific paper
Influence of Foreign Direct Investments on Commodity Exchange of the Republic of Croatia
Goran Marijanović
Luka Crnković
Duško Pavlović
Abstract
Almost all countries of the world try to ensure accelerated development of their economies with the help of foreign direct investments. Since the foreign direct investments, in addition to capital, potentially ensure the transfer of contemporary technology, management and marketing knowledge and skills respectively, they
can be a signifcant growth factor of competitive abilities of national economies and involvement of countries into international exchange. Trough the RCA method and “Trade Overlap” index, this paper analyzes the infuence of foreign direct investments on the comparative advantages and specialization degree in international commodity exchange for the selected group of transition countries and the Republic of Croatia. The paper tries to determine how much the foreign direct investments have infuenced the structure change of the foreign trade exchange and whether they have contributed to export growth of more complex groups of products in the observed period.
Keywords
Foreign direct investments; comparative advantages; RCA; specialization; TO index
Hrčak ID:
47927
URI
Publication date:
10.12.2009.
Visits: 3.069 *