With the continuing process of globalization, national economies are intensively interconnecting with external enviroment. It is especially visible for Czech Republic, which geopolitical position stresses the importance of external business relationships. Economic prosperity of countries with open economy is largely determined by export performance and inflow of foreign direct investments, both of which are supported by economic diplomacy. The first scope of this thesis is to evaluate the economic diplomacy of Czech Republic, and secondly to empirically analyze the tools, which economic diplomacy is using - foreign visits of polititians and role of embassies. The gravity model of international trade was used to study the influence of both tools on the foreign trade and investment in Czech Republic between years 1993-2013. The results show, that if at least one visit per year was realized, the export grows by 14%. However, one average high official visit is associated with rising exports by about 4.7%. On the other hand, any realtionship with FDI was not found. Further analysis confirms the importance of the embassies and thier positive impact on foreign trade, in particular with culturally distant countries, where this effect is more pronounced. Futhermore the study showed fading effect of economic...

The International Monetary Fund was created to promote financial stability, global monetary cooperation, high employment, international trade and sustainable economic growth. Together with the World Bank, IMF has a "monopoly" on offering loan programs for countries in deep crises or for development projects. In this thesis, we examine the effect of IMF, i.e. loan size and quotas, on the economic growth and inflation rate, by applying a dynamic panel regression on our dataset. In addition, we look at how the IMF Quotas influence the size of the loans. Our empirical results display significant evidence that IMF loans influence the GDP growth in a positive manner, in the medium term. Both Control of Corruption and Voice & Accountability have a negative influence on the economic growth. In other words, less corruption and stronger civil rights will halt the growth level of the economy. We also determined that IMF Quotas is not a robust indicator of the loan size. It is only driven by the past loan levels. Regarding Inflation determinants, IMF loans are not affecting the Inflation in a significant manner, while FDI and Control of Corruption - do. FDI exercises a positive influence on the CPI, while perception of less corruption has a negative effect on Inflation rate. JEL Classification D73, E31, F12,...

Foreign direct investment (FDI) is a key option for economic growth in most, if not all, developing countries. However, not all developing countries are equally open to foreign investment. Some restrict foreign equity, while others encourage multinational corporations to enter their markets. Because FDI involves outsiders entering national markets and profits, it is very political. FDI can bring economic benefits, such as jobs and new technology, but it may also entail economic costs, such as increased competition for national businesses. FDI may also bring political costs, as governments that open to foreign equity may see a popular backlash. Most governments have policies to control FDI's entry into their markets. These policies have been inadequately explored in quantitative studies of FDI because of a lack of available data. This study seeks to rectify that problem by introducing a new set of data: The Foreign Equity Index. I develop a theory and model of FDI in developing countries framed by the logic of two-level games. FDI requires agreement between developing states and international firms, and therefore agreements are reached with influence from domestic-level political and economic factors, as well as international-level factors. FDI policies are an indication of developing countries win-sets, or range of agreements they are willing to accept when dealing with foreign multinational corporations. I test this theory quantitatively using the Foreign Equity Index, which covers 55 developing countries from 1976-2004. I first estimate the international and domestic factors that influence the degree of openness to FDI indicated by FDI equity policies in developing countries. I then test the effect these policies have on FDI inflows. I find that both domestic and international factors affect developing countries’ FDI policies, and in turn, policies are a significant factor determining the flow of FDI into national markets. I also explore the ways in which FDI policies have played a role in economic development strategies of El Salvador and Nicaragua. This research and the Foreign Equity Index should aid in a better understanding of foreign direct investment and growth in developing countries in general.

This paper analyzed the FDI trends between Korea and its FTA partners which were Chile, Singapore and EFTA. The other group was central European countries and their FTA partner countries that are Chile, Mexico and South Africa. The empirical studies of FDI developments after FTA have found that the results were different from country to country even though they have the FTA status with the same countries. Korea has been increased FDI investment in its FTA partner countries but not with Chile and EFTA. Similarly, Germany has increased its FDI in their FTA partner countries after FTA. But most central European countries which are Czech Republic, Slovakia, Poland and Hungary were not much changed their FDI investment after FTA. But their investment also increased when we measure FDI in the absolute numbers between before and after FTA. Regarding the prospects of FDI flows between Korea and central European countries after ROKEU FTA, We took into accounts such as FDI trends with its FTA partners, FDI regime and current FDI position etc including ROKEU FTA itself. Basically, we could predict that FDI would increase in central European countries from Korea when we consider the previous trends between them and the results of empirical analyses of the FTA partner countries. So it is hard to say that FDI will be increased in Korea from these countries after FTA. But Germany would be very active outward economy and it would invest more in South Korea than before FTA.

Being non-renewable source of energy, oil maintains the largest contributor to the energy mix of all counties in the world. Consequently, oil-refining industry is a field of particular concern for the governments and society. This work focuses on oil-refining industry in the countries of Eastern and Central Europe. This topic is very sensitive for CEE counties due to continuously rising energy prices, vulnerability of the supply security and current EC regulations concerning emissions trade and common environment policy. This thesis aims to answer to question what will happen to the industry in CEE counties after implication of new EC regulations and development of the renewable sources of energy. For this purpose, SWOT analysis of the industry in different counties was performed, highlighting major strengths and potential threats. Further analysis describes major mergers and acquisitions in the industry, FDI and current problems of trade imbalance. Particular attention is given to the security of supply and dangerous dependency on the crude oil imports. The results show that some EC policies and regulations could be potentially perilous for the counties which have large crude reserves and developed oil-refining and petrochemical industry, influencing such factors as cost of production and competitiveness of the product in the market. However, further development of renewable sources is often the only option available for the counties with no fossil fuel reserves and poor developed refining infrastructure, aimed to eliminate ever-increasing energy dependency.

The thesis describes and analyses the development of foreign direct investments in Czech Republic with emphasis on state and regional level. The goal of my thesis, focusing on the topic "Regional differences of foreign direct investments", is to answer the question if foreign direct investments help to decrease the regional disparities. The first part of the thesis oves more detail sof FDI definition, types, factors of localizations and barriers. Second part of the thesis answers the question if FDI brings positive impact to economic development. The third part defines the regions supported by government. The main part of the thesis analyses the development of FDI in Czech Republic and two levels of districts during 2000-2008. In the last part of the thesis are mentioned two examples of foreign direct investment localizated in Czech Republic, in different districts.

L’intérêt à l’égard des relations économiques entre la Russie et l’Union européenne s’est accentué au cours des années 2000. L’interdépendance économique accrue entre les deux partenaires témoigne de l’importance de cette relation et justifie l’intérêt tant pour son architecture institutionnelle que pour ses conséquences de long terme. Notre démarche consiste à interroger la façon dont ce partenariat se construit sur la base des nouvelles propriétés convergentes entre la Russie et de l’Europe. Cela nous permet de mieux caractériser le rapport entre l’architecture institutionnelle et la dynamique « de facto » des échanges économiques au sein de ce partenariat qui, lui, tient compte de l’évolution des besoins économiques internes des deux partenaires. On est ramenés donc ici à aborder la question du développement économique interne de la Russie. Traiter ce dernier aspect à la lumière de l’évolution des relations Russie-Europe, en particulier à un moment où celles-ci sont grevées par l’hypothèque énergétique et des divergences d’ordre politique, peut paraître paradoxal. Toutefois, la prise en compte de la configuration de ces relations semble être pertinente à plus d’un titre et permet de constater que les échanges économiques entre l’UE et la Russie constituent la première étape d’un processus inéluctable de réalisation des objectifs de développement de long terme des deux partenaires. Les enjeux sont donc manifestes tant pour l’avenir de l’Europe que pour celui de la Russie. Largement lié à la question énergétique, ce partenariat est accompagné d’une ambition originale qui rappelle le vieux rêve d’une Eurasie fondée sur la relation de deux entités à vocation fédérale. Cependant, la forme même que prendrait cette Eurasie ainsi que ses limites posent problème. Ainsi, notre travail interroge la nature de ce modèle inédit de relations internationales, qui aurait la grande originalité de reposer exclusivement sur un équilibre institutionnel. Aussi, nous nous intéressons à la pertinence du qualificatif « partenariat » que l’on a l’habitude d’attribuer aux relations Russie-UE, pour voir s’il n’est pas plus approprié de parler d’une union politique régionale comme solution alternative à la globalisation. Enfin, ce travail entend fournir un cadre méthodologique original nécessaire à l’étude des relations particulières entre la Russie et l’Union européenne dans une perspective dynamique. / The interest regarding economic links between Russia and The European Union has considerably increased during the 2000s. The greater economic interdependence between the two partners is a sign of the importance of this relationship and justifies such an interest as much in its institutional architecture as in the long-term consequences. Our approach is to question the way this partnership is being built, based on new common assets between Russia and Europe. This allow us to better characterise the rapport between institutional architecture and the ‘de facto’ economic exchanges within this partnership, that take into account the evolution of domestic economic needs of both partners. The leads us, therefore, to address the question of Russian domestic economic development. Treating this last aspect in the light of the evolution of Russian-European relationships, particularly at a time when they are strained by the energy hypothesis and divergences of a political order, may seem paradoxical. However, examining the shaping of these relationships seems pertinent for several reasons and enables us to conclude that economic exchanges between the EU and Russia are the first stage in the necessary process towards achieving both partners’ long-term development goals. The stakes are apparent for the future of both Europe and Russia. Strongly linked to the energy question, this partnership is accompanied by an original ambition reminiscent of the old Eurasian dream, founded on the relationship between two entities with a federal vocation. However, the shape that this Eurasia might take, and its limits, pose a problem. Thus, our work questions the nature of this new model of international relations, which would be very original, based exclusively on an institutional equilibrium. We are also interested in the pertinence of the term ‘partnership’ that we tend to use to define Russian-EU relationships, to see if it might not be more appropriate to talk about a regional political union as an alternative solution to globalisation. Lastly, this study intends to propose an original methodical framework necessary for studying specific relationships between Russia and the European Union with a perspective for growth.

La littérature sur les investissements directs étrangers a considérablement progressé au cours des deux dernières décennies (Antràs & Yeaple, 2013). Le rapport de la CNUCED sur les investissements de 1998 indique que les firmes multinationales suivent une grande variété de stratégies d’internationalisation. Plusieurs études théoriques ont étudié ces nouvelles stratégies (ex. : colocalisation des activités, agglomération géographique des projets d’une firme, et les stratégies complexes). Néanmoins, les travaux empiriques existants ne traitent pas la séquence d’implantation des multinationales comme un phénomène dynamique dans l’espace et le temps. Notre étude suppose que la localisation des firmes multinationales n’est pas un processus statique. Quand le niveau de la production augmente, l'entreprise prendra de nouvelles décisions organisationnelles afin de maintenir son niveau de productivité et de garantir l'efficacité de son processus de production. / The literature of foreign direct investment has been characterized by a significant progress in the last two decades. According to the World investment report (UNCTAD, 1998), different strategies are set by multinational firms in their internationalization process. Some theoretical studies highlighted the relevance of these new strategies (e.g. co-location of activities, geographic agglomeration within firm boundaries and complex strategies). However, most of the empirical works study the location of the multinationals as if they were to be undertaken once and overlook the dynamic extension of the firms over location and time. Our study assumes that the location decision is not a static process, but when the level of the production increases, the firm will take some new organizational decisions in order to maintain its productivity level and guarantee the efficiency of its production process.

Thesis advisor: Jérôme Taillard / This paper studies the dynamics between levels of M&A activity (average transaction value and number of deals) and crises in seven Latin American countries from the period between 1990 through 2007. Two hypotheses are tested using regression analysis: (1) whether the level of M&A activity increases during crises due to the “bargain hypothesis,” due to the low valuation of target companies, or (2) whether M&A activity decreases due to the financial distress of potential buyers (“financing constraints” hypothesis) or the financial distress of potential targets (“loss of confidence” hypothesis). Analyses at the country and industry level show that the average transaction value of M&A deals decreases with every crisis. Support for the second hypothesis is found within the Manufacturing, Energy and Utilities industry, in which the number of deals increases. / Thesis (BS) — Boston College, 2013. / Submitted to: Boston College. College of Arts and Sciences. / Discipline: Economics Honors Program. / Discipline: Economics.

This study examines the determinants of inward foreign direct investment to OECD countries. The focus is on horizontal FDI. The purpose of the research is to contribute to the ongoing research, and adding value. This is done by using a dynamic perspective of time, and controlling for country-specific characteristics. The thesis uses panel data covering all 36 OECD countries over a 23 year long time period, 1995-2017. Three regressions have been done using a linear fixed effects model, as well as four addition regressions testing the robustness of the results. Earlier studies have received spread results, as have this study. It found market size, economic stability, trade openness, and currency value as significant determinants of the inward flow of FDI to OECD countries.