EMPLOYMENT AND FOREIGN DIRECT INVESTMENT: THE MONTENEGRO EXPERIENCE

Ana Gardašević
Additional contact information
Ana Gardašević: Montenegro Tourism School, Mediterranean University, Podgorica, Montenegro

Ekonomski pregled, 2018, vol. 69, issue 5, 552-570

Abstract: The purpose of this study is to examine and better understand the effects of foreign direct investments on employment in Montenegro over the period from 2005-2017. Time series data on a quarterly basis, obtained from Central Bank of Montenegro, Statistical Office of Montenegro - MONSTAT and Employment Office of Montenegro were used in this research. To perform time series stationary testing, Dickey-Fuller test (ADF) and Perron test were used, i.e. the unit root tests, while the examination of the effects of foreign direct investments on employment was performed using the regression analysis with the least square method. The results of the research, obtained by the evaluation of the simple linear econometric model show that if foreign direct investments increase by 1%, employment in Montenegro can be expected to increase by an average of 0.0058%. However, the regression analysis results clearly show that over the total observed period, the influence of foreign direct investments on employment does not have statistical significance. The obtained results are not surprising, considering the fact that the observed period is characterized by a modest share of the greenfield investment within the total structure of foreign direct investments in the Montenegrin economy.

Keywords: FDI; greenfield investments; employment; regression analysis (search for similar items in EconPapers)
JEL-codes: F3 J21 (search for similar items in EconPapers)
Date: 2018
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://hrcak.srce.hr/209394 (text/html)

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:hde:epregl:v:69:y:2018:i:5:p:552-570

Ordering information: This journal article can be ordered from
Ekonomski pregled, Hrvatsko društvo ekonomista, Heinzelova 4a, 10000 Zagreb, Croatia
http://www.hde.hr/pregled_en.aspx

Access Statistics for this article

Ekonomski pregled is currently edited by Josip Tica

More articles in Ekonomski pregled from Hrvatsko društvo ekonomista (Croatian Society of Economists) Contact information at EDIRC.
Bibliographic data for series maintained by Josip Tica ().