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FDI and Regional Income Disparity in the Czech Republic
Authors: Mallick Jagannath | Zdražil Pavel
Year: 2018
Type of publication: článek v odborném periodiku
Name of source: Scientific Papers of the University of Pardubice - Series D, Faculty of Economics and Administration
Page from-to: 159-171
Titles:
Language Name Abstract Keywords
cze Přímé zahraniční investice a regionální disparity v příjmech v České republice Cílem článku je zhodnotit dopad přímých zahraničních investic, domácích investic a lidského kapitálu na regionální příjmy, a jejich roli v rámci konvergence příjmů v prostředí české ekonomiky v období let 1998-99 až 2013-14. investice; konvergence; regionální růst; panelová data
eng FDI and Regional Income Disparity in the Czech Republic The aim of this paper is to evaluate the impact of FDI along with domestic physical investment and human capital on the regional income, and their role in the regional income convergence within the Czech economy over the periods from 1998-99 to 2013-14. The paper considers 14 regions of the Czech Republic and uses panel fixed effect regression and dynamic panel growth framework for the empirical analysis. The result finds that the role of physical capital formation and FDI along with the human capital are crucial for the regional disparity in income in the Czech Republic. There is also evidence of the convergence of per capita income at the speed of 7.8 per cent among the regions by conditioning physical investment and human capital along with FDI. This paper suggests that regional disparity in income can be reduced by the equitable allocation of investment and FDI, and equal development of human capital. investment; convergence; regional growth; panel data methods