Geographic Factors as Determinants of Foreign Direct Investment in Eastern Europe's Transitioning Economies

Authors

Jovana Trkulja, Macalester College

Document Type

Honors Project - Open Access

Comments

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Abstract

The removal of the "Iron Curtain" epitomized the shed of Eastem Europe's central planning and the region's adoption of the Westem market system. To establish a comparative advantage in today's markets, the transitioning nations need financial assistance through Foreign Direct Investment (FDI). While most research focuses on economic and political factors as determinants of FDI this paper additionally examines the regions geography. Results indicate that urban concentration, road networks and proximity to surrounding markets significantly attract foreign investors. The implications of capital inflows are geographically altering as the urban and rural landscapes are modified to reflect the new market system.

Recommended Citation

Trkulja, Jovana, "Geographic Factors as Determinants of Foreign Direct Investment in Eastern Europe's Transitioning Economies" (2005). Geography Honors Projects. 4.
https://digitalcommons.macalester.edu/geography_honors/4