ISSUE: 4/2019
- Volume 23
- Number 4
- 2019
Subscribe NEWSLETTER
Studia Europejskie –
Studies in European Affairs
ISSN: 1428-149X
e-ISSN: 2719-3780
License
Articles published in the journal are under a Creative Commons Attribution – Non Commercial – No Derivatives 4.0 International License
Foreign Capital Originating from the EU in Investment and Trade Activities of Polish Regions
Abstract
Foreign capital inflow is viewed as a driving force of economic growth and development. To a large extent, the effects it may potentially produce depend on the location choice or, in other words, on the economic advancement of the region in question, available skills on the labour market, and the quality of infrastructure. Capital flows usually lead to the intensification of foreign trade, however, the ultimate potential outcomes of social and economic transformation within a given territory depend on the structure of trade flows. In relation to the above, this paper is motivated by the wish to grasp the pattern of foreign investment location choices (paying special attention to investors from other EU Member States) and their basic effects on the internationalisation of regions in the light of public interventions admissible in Poland. To this end, a statistical analysis of the following data will be carried out into: a) the evolution in the location pattern observed for companies with foreign capital based in Polish voivodeships (NUTS-2) in the period 2004–2017 and b) their foreign trade performance. Statistical analyses have led to the conclusion that foreign capital not only targeted better-developed regions of the country (even though their State aid offer is more limited) as the location for its investment but also companies established in these locations as a result of such investments are more strongly engaged in international trade (and are affiliates within the organisational structure of a single business entity) than foreign companies which chose to locate their businesses in poorer regions of the country.
References
Ambroziak A.A., Prawne i ekonomiczne aspekty pomocy regionalnej w Polsce po akcesji do Unii Europejskiej, in: Unia Europejska w 10 lat po największym rozszerzeniu, eds. E. Pancer-Cybulska, E. Szostak, “Prace Naukowe Uniwersytetu Ekonomicznego we Wrocławiu”, No. 380/2015, s. 177–188, DOI: https://doi.org/10.15611/pn.2015.380.15.
Ambroziak A.A., The Legal Framework for Regional State Aid in the European Union in 2014–2020 and Its Impact on the Attractiveness of Poland’s Regions to Investors, in: New Cohesion Policy of the European Union in Poland. How It Will Influence the Investment Attractiveness of Regions in 2014–2020, ed. A.A. Ambroziak, Springer, Cham, Heidelberg, New York, Dordrecht, London 2014, DOI: https://doi.org/10.1007/978-3- 319-05335-6_4.
Ambroziak A.A., Wpływ wprowadzenia swobodnego przepływu kapitału na bezpośrednie inwestycje zagraniczne w Unii Europejskiej. Bilans dwudziestolecia istnienia rynku, “Studia Europejskie”, No. 68(4)/2013, pp. 133–147.
Barca F., An Agenda for A Reformed Cohesion Policy: A Place-Based Approach to Meeting European Union Challenges and Expectations, Independent Report, Prepared at the Request of the European Commissioner for Regional Policy, Danuta Hübner, European Commission, Brussels 2009.
Council Directive 88/361/EEC of 24 June 1988 for the implementation of Article 67 of the Treaty, OJ L 178, 8.7.1988: 5–18.
Dunning J., Toward an Eclectic Theory of International Production: Some Empirical Tests, “Journal of International Business Studies”, No. 11(1)/1979, pp. 9–31, DOI: https://doi.org/10.1057/palgrave.jibs.8490593.
Gray H.P., Duning J., Towards a theory of Regional Policy, in: Regions, Globalization, and the Knowledge-Based Economy, ed. J. Duning, Oxford University Press 2002, DOI: https://doi.org/10.1093/0199250014.003.0017.
Guidelines on National Regional Aid for 2007–2013, OJ C 54/2006.
Guidelines on national regional aid, OJ C 74, 10.3.1998.
Guidelines on regional State aid for 2014–2020, OJ C 209, 23.7.2013.
Hosper G.-J., Beugelsdijk S., Regional Cluster Policies: Learning by Comparing?, “KYKLOS”, No. 55, Vol. 33, pp. 381–401, DOI: https://doi. org/10.1111/1467-6435.00192.
Krugman P., Geography and Trade, MIT Press, Massachusetts 1991.
Markusen A., Interaction between Regional and Industrial Policies: Evidence from Four Countries “International Regional Science Review”, No. 19(1–2)/ 1996, pp. 49–77, DOI: https://doi.org/10.1177/016001769601900205.
Misturai F., Rouleti C., The determinants of Foreign Direct Investment. Do statutory restrictions matter?, OECD Working Papers on International Investment 2019/01, DOI: https://doi.org/10.1787/18151957.
Regional Dimension of the EU Economic Policy in Poland, ed. A.A. Ambroziak, Warsaw School of Economics Press, Warsaw 2015.
Reshaping Economic Geography. World Development Report 2009, International Bank for Reconstruction and Development, World Bank, Washington 2009.
Taylor J., Wren C., UK Regional Policy: An Evaluation, “Regional Studies”, No. 31(9)/1997, pp. 835–848, DOI: https://doi.org/10.1080/ 00343409750129959.
The Economics of Regional Policy, The International Library of Critical Writing in Economics, eds. H. Armstrong, J. Taylor, An Elgar Reference Collection, Cheltenham, Northampton 1999.
Yamano N., Ohkawara T., The Regional Allocation of Public Investment: Efficiency of Equity, “Journal of Regional Science”, No. 40(2)/2000, pp. 205–229, DOI: https://doi.org/10.1111/0022-4146.00172.
DOI: 10.33067/SE.4.2019.7
Language: English
Pages: 109-124
How to Cite:
Harvard
Ambroziak, A. (2019) "Foreign Capital Originating from the EU in Investment and Trade Activities of Polish Regions". Studia Europejskie – Studies in European Affairs, 4/2019, pp. 109-124. DOI: 10.33067/SE.4.2019.7