The role of twin skills in attracting FDI: evidence from European regions

Giulia Martinelli (), Andrea Ascani (), Stefano Basilico () and Alberto Marzucchi ()
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Giulia Martinelli: Gran Sasso Science Institute
Andrea Ascani: Gran Sasso Science Institute
Stefano Basilico: Gran Sasso Science Institute
Alberto Marzucchi: Gran Sasso Science Institute

No 2025-17, Discussion Paper series in Regional Science & Economic Geography from Gran Sasso Science Institute, Social Sciences

Abstract: By integrating the literature on the twin transition with an international business perspective, this paper assesses whether the regional endowment of green, digital and twin occupations in the EU can act as a pull factor for inward foreign direct investment (FDI). We explore green, digital and twin skills per se as well as the role of their respective enabling (complementary) skills. We find a positive link of enabling skills on inward FDI, while focused digital and twin skills are generally not related to a higher level of FDI attractiveness. A high regional endowment of green skills may even have detrimental effects under specific circumstances. Our evidence paves the way for policies reinforcing locations with occupational complementarities between green, digital and twin competences in order to foster regional participation in global dynamics and favouring the twin transition.

Keywords: green skills; digital skills; twin skills; FDI; EU regions (search for similar items in EconPapers)
JEL-codes: F23 O32 O33 R11 (search for similar items in EconPapers)
Pages: 44 pages
Date: 2025-02, Revised 2025-02
New Economics Papers: this item is included in nep-eec and nep-sbm
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Persistent link: https://EconPapers.repec.org/RePEc:ahy:wpaper:wp79

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