Lithuanian Regional FDI During the Litas Period, 1997-2013

Document Type

Article

Publication Date

6-5-2018

Publication Title

Journal of International Business Research

ISSN

1544-0222

SSRN

3192431

Abstract

FDI in to the ten counties of Lithuania 1997-2013 is substantial and widely dispersed. Applying a standard model of FDI impact on regional economic growth reveals dispersion of FDI as well as the amount has contributed to stronger regional growth. Results are not sensitive to the uniqueness of greater Vilnius though the county with the national capital continues to attract the most FDI and has suffered least from the demographic crisis. Greater attention to human capital development outside of greater Vilnius is recommended to continue to attract FDI to rural areas of the country with a focus on new goods exports to enhance labour productivity.

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