Greenfield and brownfield investments and economic growth

evidence from Central and Eastern European Union Countries

Abstract

Global foreign direct investment flows in terms of greenfield and brownfield investments have increased during the recent three decades resulting from the accelerating globalization. The considerable increases in the flows of foreign direct investment have many eventualities for the national economies. This study investigates the mutual effects among greenfield and brownfield (mergers and acquisitions) investments and economic growth in Central and Eastern European Union countries during the 2003–2015 period employing panel data analysis. The findings revealed that both greenfield and brownfield investments had positive influence on the economic growth, but the influence of greenfield investments was found to be relatively higher. Furthermore, one-way causality was discovered from both greenfield and brownfield investments to the economic growth.

Keywords

greenfield investments;brownfield investments;economic growth;panel data analysis;Central and Eastern European Union countries;

Data

Language:	English
Year of publishing:	2017
Typology:	1.01 - Original Scientific Article
Organization:	UM EPF - Faculty of Economics and Business
UDC:	339.7:330.34
COBISS:	12857628
ISSN:	0547-3101
Parent publication:	Naše gospodarstvo
Views:	931
Downloads:	141
Average score:	0 (0 votes)
Metadata:

Other data

Secondary language:	Slovenian
Secondary title:	Greenfield in brownfield tuje neposredne naložbe in gospodarska rast
Secondary abstract:	Tokovi globalnih greenfield in brownfield tujih neposrednih naložb so se v zadnjih treh desetletjih zaradi pospešene globalizacije povečali. Znatna povečanja tokov tujih neposrednih naložb imajo veliko možnih vplivov na narodna gospodarstva. V študiji z uporabo analize panelnih podatkov raziskujemo medsebojne učinke greenfield in brownfield (spojitev in pripojitev) naložb in gospodarske rasti v srednje- in vzhodnoevropskih državah članicah Evropske unije v obdobju 2003–2015. Izsledki kažejo, da imajo tako greenfield kot tudi brownfield tuje neposredne naložbe pozitiven vpliv na gospodarsko rast, pri čemer je vpliv greenfield naložb relativno večji. Nadalje, ugotovljen je bil enosmerni vpliv tako greenfield kot tudi brownfield naložb na gospodarsko rast.
Secondary keywords:	neposredne tuje investicije;gospodarska rast;
URN:	URN:SI:UM:
Type (COBISS):	Scientific work
Pages:	str. 19-26
Volume:	ǂLetn. ǂ63
Issue:	ǂšt. ǂ3
Chronology:	2017
DOI:	10.1515/ngoe-2017-0015
ID:	10929710