THE ROLE OF FOREIGN DIRECT INVESTMENT IN HUMAN CAPITAL FORMATION FOR A COMPETITIVE LABOUR MARKET
THE ROLE OF FOREIGN DIRECT INVESTMENT IN HUMAN CAPITAL FORMATION FOR A COMPETITIVE LABOUR MARKET
Author(s): Mihaela Simionescu, Maria-Simona NaroșSubject(s): Economy, Business Economy / Management
Published by: Academia de Studii Economice - Centrul de Cercetare in Administratie si Servicii Publice (CCASP)
Keywords: foreign direct investment; human capital; labour market; graduates;
Summary/Abstract: The role of human capital in attracting foreign direct investment is discussed in this paper. A dynamic panel data model is estimated for the European Union countries in the period 2000-2017 to analyze the impact of some macroeconomic indicators on the FDI inflows. The main results suggested that foreign investors in the EU preferred countries with more recent graduates of higher education, with cheap labour force and with patents growth. Therefore, the quality of the higher-education is important in attracting foreign investors in the EU and the educational policies should focus more on the harmonization of the theoretical information provided by faculties with the requirements of employers in order to achieve a competitive labour market.
Journal: Management Research and Practice
- Issue Year: 11/2019
- Issue No: 1
- Page Range: 5-14
- Page Count: 10
- Language: English
