search query: @author Spatareanu, M. / total: 2
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| Author: | Javorcik, B.S. Spatareanu, M. |
| Title: | Do foreign investors care about labor market regulations? |
| Journal: | Review of World Economics
2005 : VOL 141:3, p. 375-403 |
| Index terms: | Foreign investment Direct investment Investors Labour markets Regulations Europe |
| Freeterms: | FDI |
| Language: | eng |
| Abstract: | Using firm level data on new investments undertaken from 1998 to 2001, this study investigates whether labour market (hereafter as: l-m.) flexibility (here as: flex.) affects foreign direct investment (FDI) flows across 19 Western and Eastern European countries. A variety of proxies are used for l-m. regulations reflecting the flex. of individual and collective dismissals, the length of the notice period and the required severance payment along with controls for business climate characteristics. The results suggest that greater l-m. flex. in the host country (as: h-c.) in absolute terms or relative to that in the investor's h-c. is associated with larger FDI inflows. |
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