Preliminary communication
DETERMINANTS OF INSURANCE MARKET ATTRACTIVENESS FOR FOREING INVESTMENTS: THE CASE OF EX-YUGOSLAVIA
Vladimir Njegomir
Dragan Stojić
Abstract
The aim of this paper is to investigate factors that influence the attractiveness of insurance market for
foreign insurers in case of ex-Yugoslavia region. We use country-specific fixed effects models for
panel data that covers five countries during the period 2004-2008, allowing each cross-sectional unit
to have a different intercept term serving as an unobserved random variable that is potentially
correlated with the observed regressors. The research results indicate that the main forces affecting
market attractiveness are insurance demand and human capital. These findings provide significant
implications for local governments and for both, foreign and domestic insurers.
Keywords
globalisation; non-life insurance; market attractiveness; ex-Yugoslavia
Hrčak ID:
59421
URI
Publication date:
30.9.2010.
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