International business spillovers in emerging markets: the Visegrad group Online publication date: Sun, 19-Dec-2010
by Vasileios A. Vlachos, Dimitris Kalimeris
International Journal of Economic Policy in Emerging Economies (IJEPEE), Vol. 3, No. 4, 2010
Abstract: The literature on technology spillovers, from international trade and Foreign Direct Investment (FDI) to the Visegrad four, brings forward mixed results and leads to contradictory conclusions. This study investigates the effect of international business activity on Visegrad's group labour productivity levels under the lens of European Union (EU) integration process. The findings regarding the influence of FDI and Research and Development (R&D) expenditure on labour productivity are mixed. A neglected relationship is highlighted, however, as approximately 1/3 to 1/2 of the increase in merchandise imports for the Visegrad group is transformed into labour productivity, enhancing it further towards the EU average.
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