INVESTMENTS – MAIN VECTOR OF ECONOMIC GROWTH IN THE REPUBLIC OF MOLDOVA

Tatiana Bujor ()
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Tatiana Bujor: University assoc. interim. professor SAUM

The Annals of the "Stefan cel Mare" University of Suceava. Fascicle of The Faculty of Economics and Public Administration, 2011, vol. 11, issue 1(13), 192-196

Abstract: The investment is an engine of economic growth and development, because it acts both on supply and aggregate demand. To invest is to create new, modern means of production, which promotes technical progress in the economy and leads to some productivity gains. Investment acts and on the labor market, permanently changing the occupational structure. So, investments can be defined as those capital expenditures that are made in order to create, build durable goods that will be the hope of getting support in the future, a profit / income expected, a value, that some useful advantages desirable, necessary. Thus, changes in investment largely explain the economic conjuncture fluctuations. The Moldovan economy, one of the reasons economic and social situations is serious in that we are insignificant volume of foreign investments. They contribute positively to economic growth and development of the country without its own financial resources for investment, with a positive correlation between the stock of FDI per capita and national economic competitiveness. Precisely because of this, world countries compete to attract direct foreign investment.

Keywords: foreign investments; own financial resources; means of production; economic growth; economic development; labour market. (search for similar items in EconPapers)
Date: 2011
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