INVESTMENT DEVELOPMENT OF COUNTRIES IN CONDITIONS OF GLOBAL ASYMMETRIES INCREASING Cover Image

ІНВЕСТИЦІЙНИЙ РОЗВИТОК КРАЇН В УМОВАХ ПОСИЛЕННЯ ГЛОБАЛЬНИХ АСИМЕТРІЙ
INVESTMENT DEVELOPMENT OF COUNTRIES IN CONDITIONS OF GLOBAL ASYMMETRIES INCREASING

Author(s): Vitaliy Zapukhlyak, Iryna Ivaschuk
Subject(s): Economy
Published by: Інститут трансформації суспільства
Keywords: asymmetry; global transformation; investment protection; investment development; socio-economic development; FDI; investment cluster

Summary/Abstract: Introduction. The problems of countries socio-economic development asymmetries increasing are connected with their ability to attract foreign direct investments (FDI) and to use them effectively in order to overcome the impact of the world financial crisis and to improve internal financial situation. Countries on different stages of economic development have not similar approach to the foreign financial resources usage, and developing countries often lack a clear view concerning their internationalization. Purpose. To find out asymmetries of countries investment development and its connection with tendencies in their socio-economic conditions changing, to propose measures for investment stabilization. Methods. Statistical instruments of the program package STATISTICA 8.0 were used to form and estimate linear multifactor regression of the world FDI amount dependence from the FDI amounts by groups of countries, and also the algorithm of clustering method to form investment clusters for 183 countries of the world. Results. The tendencies in the world social, economic and investment development are represented. The amounts of investments in the world since 2011 are higher than before the crisis. Using UNCTAD data, the authors have grouped investment flows by countries, shown their dynamics in time, and made such conclusions as: 2009 was the hardest investment year; countries with transitive economics occurred to be the most resistant to the external influence and they may attract more investment in future years; decrease of the world investment inflow is connected with lowering investment activity of the developed countries. To find out if there is dependence between the world FDI amount and the FDI amounts by groups of countries within the type of the country’s economics (country with developed, developing or transitive economics) the lineal multifactor regression was formed. As the result, such dependence was proven, and namely strong determination of world FDI amount by the developed countries FDI amount was shown. The authors formed 7 clusters of 183 countries which have similar levels of foreign direct investments, using the World Bank data for 2003-2011. The analysis has proven strong asymmetries in countries investment development. The highest FDI level has Cluster 2 (Britain, USA, China); medium higher FDI level has Cluster 1 (Australia, Brazil, Hong Kong, Russia, Singapore); high FDI level has Cluster 7 (Belgium, Spain, Canada, France); medium lower FDI level has Cluster 4 (India, Italy, Mexico, Saudi Arabia, Switzerland, Sweden etc.); cyclically changing from medium to law investment level has Cluster 3 (Austria, Luxembourg, The Netherlands, Hungary); much lower FDI level has Cluster 5 (Argentina, Bulgaria, Israel, Japan, Egypt, Nigeria, Norway, Poland, Romania, Turkey, Ukraine etc.); permanently law level of FDI has Cluster 6 (136 countries). The authors consider that more investments should be redirected to developing countries to overcom

  • Issue Year: 2013
  • Issue No: 07-08(1)
  • Page Range: 13-17
  • Page Count: 5
  • Language: Ukrainian