Agglomeration economies and the location of foreign direct investment: empirical evidence from Romania

Abstract: We exploit the large inflow of FDI into Romania, after the revolution in 1989, to study the determinants of FDI location in transition economies. Using a conditional logit setup and choice-specific fixed effects, we find that external economies from service agglomeration are the main determinant of FDI-location. An increase in service employment density by 10 percent makes the average Romanian county 11.9 percent more likely to attract a foreign investor. Industry specific foreign and domestic agglomeration economies and labor conflicts also impact FDI-location. A comparison with findings of other studies suggests that service agglomeration economies may be geographically quite localized

Object Details

• Alternative title: Agglomerationsvorteile und der Standort von ausländischen Direktinvestitionen: empirische Evidenz aus Rumänien
• Location: Deutsche Nationalbibliothek Frankfurt am Main
• Extent: Online-Ressource
• Language: Englisch
• Notes: Postprint ; begutachtet (peer reviewed) ; In: Regional Studies ; 44 (2010) 3 ; 355-371

Classification and Topics

• Classification: Wirtschaft

Contributors, Places and Time

• Event: Veröffentlichung
• (where): Mannheim
• (when): 2010
• Creator: Hilber, Christian A. L. ; Voicu, Ioan

Further information

• DOI: 10.1080/00343400902783230
• URN: urn:nbn:de:0168-ssoar-233651
• Rights: Open Access unbekannt; Open Access; Der Zugriff auf das Objekt ist unbeschränkt möglich.
• Last update: 25.03.2025, 1:53 PM CET