THE ROLE OF FOREIGN DIRECT INVESTMENT IN HUMAN CAPITAL FORMATION FOR A COMPETITIVE LABOUR MARKET

Mihaela Simionescu and Maria-Simona Naro? ()
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Maria-Simona Naro?: School of Advanced Studies of the Romanian Academy, Calea Victoriei 125, Bucharest, Romania

Management Research and Practice, 2019, vol. 11, issue 1, 5-14

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 highereducation 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.

Keywords: : foreign direct investment; human capital; labour market; graduates. (search for similar items in EconPapers)
Date: 2019
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Citations: View citations in EconPapers (2)

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Persistent link: https://EconPapers.repec.org/RePEc:rom:mrpase:v:11:y:2019:i:1:p:5-14

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