Dr, FeRSA, Department of Labour Market, National Scientific Research Institute for Labour and Social Protection, Bucharest, Romania
ORCID ID: 0000-0001-6596-1820
Dr Scientific Director, National Scientific Research Institute for Labour and Social Protection, Bucharest, Romania
ORCID ID: 0000-0003-0215-038X
Central and Eastern European (CEE) and Visegrad countries transform and develop in different spatial patterns in a global economy. Host labour markets benefit directly from Foreign Direct Investment (FDI) inward flows through jobs creation or increased productivity. On the other side, the labour force rises its geographical mobility and benefits from jobs in FDI’s source countries, sending personal remittances. Global integration marks that the “receipts of remittances have become an important and stable source of funds that exceeds FDI” (indexmundi.com). Are the CEE /Visegrad countries similar concerning their spatiotemporal pattern of FDI inflows? These countries are identical in their development model, described by the coordinates of FDI, remittances and Employment? We applied for 35 European countries from 2013-to 2019 the Similarity check –Grouping Analysis ARC GIS-tool from the Spatially Constrained Multivariate Clustering (Spatial Statistics) family. The FDI inflow as input proves to be more inertial, according to the categories set by EuroVoc. Simultaneously, the FDI inward as output (employment growth or labour productivity growth) differentiate CEE countries next to labour/ human capital mobility as personnel remittances in more heterogeneous categories.
In conclusion, for CEE countries, capital mobility and labour & human capital mobility create different development patterns globally. Therefore, it is not enough to build policies to attract capital (FDI) and attract high human capital.
Keywords: CEE, inward FDI rates, personal remittances receipt as GDP rate, employment rate, Similarity check –Grouping Analysis, spatial statistics
JEL classification: C23, F21, F22, F24, J21, J24, O52