Multinationals in the Czech Motor Vehicles Industry: A General Equilibrium Analysis for a Transition Economy

María Latorre () and Antonio Gómez-Plana

Europe-Asia Studies, 2011, vol. 63, issue 8, 1425-1447

Abstract: This study offers a computable general equilibrium methodology to analyse the involvement of multinationals in the motor vehicles sector in the post-communist Czech Republic. This allows estimating not only the economy-wide impact, but also the sectoral adjustments in a unified framework. The real levels of foreign direct investment received in the motor vehicles sector seem to produce only limited forward and backward linkages. Therefore, gross domestic product (GDP) and welfare increase slightly—and can even fall—after a certain degree of capital accumulation because saturation effects arise. Profit repatriation considerably exacerbates the negative effect on GDP and welfare.

Date: 2011
References: Add references at CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
http://hdl.handle.net/10.1080/09668136.2011.601114 (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:taf:ceasxx:v:63:y:2011:i:8:p:1425-1447

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/ceas20

DOI: 10.1080/09668136.2011.601114

Access Statistics for this article

Europe-Asia Studies is currently edited by Terry Cox

More articles in Europe-Asia Studies from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().