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demand and long-term measures to impact aggregate supply. Unfortunately, the Bulgarian macroeconomic management lacks rationality and the discussions on the important macroeconomic problems of Bulgaria are led by extreme ideological positions (from an extreme neo-Keynesian activism to a neoliberal market fundamentalism). The formulation and the implementation of an effective macroeconomic policy is not an ideological but a pragmatic problem. A proper macroeconomic policy is neither totally left-wing nor totally right-wing; neither fully neo-Keynesian nor

Abstract

Decisions to invest, withdraw, or transfer capital in different foreign markets have become a fixed part of management pragmatics in contemporary companies. The results of the 2017 Global Corporate Divestment Study show that multinational enterprises (MNEs) from particular parts of the world tend to see the main reasons behind their decisions on FDI (foreign direct investment) and FD (foreign direct divestment) in a slightly different manner. Insofar as internationalization processes and FDI have been relatively thoroughly studied and discussed in world and Polish literature, the concept of de-internationalization pursued through the prism of divestment still requires further analysis and consideration. The article aims to present the general framework of the process involving FDI, FD, and the major factors behind it in Poland and Latvia. Theoretical considerations are supplemented with the analysis of statistical data coming from the UNCTAD database as well as the database of Poland’s and Latvia’s central banks, illustrating foreign investment flows. The article uses the method of critical analysis of world and Polish literature, analysis of reports on relevant issues, and desk research analysis.