Macroeconomic Influence of Immigrants on the Czech Republic

• Main Author: Sycheva, Yulia
• Other Authors: Maitah, Mansoor
• Format: Dissertation
• Language: English
• Published: Česká zemědělská univerzita v Praze
• Online Access: http://www.nusl.cz/ntk/nusl-254154

This diploma thesis analyses the influence of immigrants on the Czech foreign direct investment (FDI) between 1999 and 2013 among 18 countries with an account for the biggest immigration stock in the Czech Republic. The general aim is to organise the gathered knowledge about positive and negative sides of immigration for the economy, as well as, to research new areas which were not covered for the Czech Republic: trade and immigration dependency. The research is based on the economic and econometric theory building the estimated model. The econometric analysis found a correlation between dependent variable FDI and some of the independent variables including immigration as the main explanatory variable. The estimated effect proved to have the explained causality of immigration effect on investments. Therefore study concludes that the immigrant network stimulates the information flow from their country of origin to the host country, indirectly increasing the volume of the investment in the Czech Republic and therefore immigrants have a positive effect on FDI stock in this country.