The paper aims at providing insight into the effectiveness of Latvian special economic zones (SEZ) as a tool to attract foreign direct investment (FDI). The goal is accomplished through the statistical analysis of relevant data and the comparison with international examples to establish a point of reference. Countries of comparison are chosen by merit, in the form of widely acknowledged success stories regarding SEZ policy, and relative statistical similarity. The wider the pool of examples, the more conclusions can be drawn about the effectiveness of SEZ in various metrics. Based on the results, Latvian special economic zones have significantly underperformed when compared to every single example on the list. Research has been approbated in the Riga Technical University 58th International Scientific Conference “Scientific Conference on Economics and Entrepreneurship” (SCEE’2017).
If the inline PDF is not rendering correctly, you can download the PDF file here.
Akkermans D. H. M. (2017). Net Profit Flow per Country From 1980 to 2009: The Long-Term Effects of Foreign Direct Investment. PLoS ONE 12(6) e0179244. https://doi.org/10.1371/journal.pone.0179244
Andonova V. G. Nikolov M. Dimovska G. & Mitevski I. (2016). Benefits and Costs From Foreign Direct Investments in the Technological Industrial Development Zones Case: Macedonia in the Period 2007-2014 Center for Economic Analyses - C ЕА Skopje 1-42. Retrieved from http://cea.org.mk/wp-content/uploads/2016/04/1.-Benefits-and-costs-from-FDI-in-TIDZ-ENG.pdf
Chakraborty T. Gundimeda H. & Kathuria V. (2017). Have the Special Economic Zones Succeeded in Attracting FDI?-Analysis for India. Theoretical Economics Letters 7 623-642. https://doi.org/10.4236/tel.2017.73047
Desbordes R. & Wei S.-J. (2017). The effects Effects of financial Financial development Development on foreign Foreign direct Direct investmentInvestment. Journal of Development Economics 127(March) 153-168. https://doi.org/10.1016/j.jdeveco.2017.02.008
Dorożyński T. Świerkocki J. & Urbaniak W. (2016). The FDI Inflow to Special Economic Zones in Poland 135-159. https://doi.org/10.1108/S1569-375920160000098009
Farole T. & Akinci G. (2011). Special Economic Zones: Progress Emerging Challenges and Future Directions. Special Economic Zones: Progress Emerging Challenges and Future Directions. The World Bank. https://doi.org/10.1596/978-0-8213-8763-4
Graham E. M. (2005). Do Eexport processing Processing zones Zones attract Attract FDI and its Its benefitsBenefits? Experience from From China and lessons Lessons for Russia. In Internationalization and Economic Policy Reforms in Transition Countries 251-272. https://doi.org/10.1007/3-540-29047-8_16
Gulbis I. (2017). Foreign Direct Investment and Special Economic Zones in Latvia. In: Riga Technical University 58th International Scientific Conference “Scientific Conference on Economics and Entrepreneurship” (SCEE’2017): Proceedings Latvia Riga 13-14 October 2017. Riga: Riga Technical University 2017 14-15. ISBN 978-9934-22-000-5. ISSN 2256-0866.
Gulbis I. & Geipele S. (2016). Social Partner Involvement in Latvia Special Economic Zones. Baltic Journal of Real Estate Economics and Construction Management 4(1) 145-152. https://doi.org/10.1515/bjreecm-2016-0011
Hausmann R. Obach J. Angel Santos M. & Angel M. (2016a). Special Economic Zones in Panama: Technology spillovers From a Labor Market Perspective. Retrieved from https://growthlab.cid.harvard.edu/files/growthlab/files/sez_panama_wp_326.pdf
Hausmann R. Obach J. Angel Santos M. & Angel M. (2016b). Special Economic Zones in Panama: Technology Spillovers From a Labor Market Perspective. Retrieved from https://growthlab.cid.harvard.edu/files/growthlab/files/sez_panama_wp_326.pdf
Liepajas SEZ (2017). Retrieved from Liepajas Special Economic Zone:http://www.liepaja-sez.lv/en
OECD. (2017). Tracking Special Economic Zones in the Western Balkans: Objectives Features and Key Challenges. Retrieved from http://www.oecd.org/south-east-europe/SEZ_WB_2017.pdf
RSEZ. (2017). Retrieved from Rezeknes Special Economic Zone: http://www.rsez.lv/index.php/en/
Sigler T. J. (2014). Panama’s Special Economic Zones: Balancing Growth and Development. Bulletin of Latin American Research 33(1) 1-15. https://doi.org/10.1111/blar.12035
Stack M. M. Ravishankar G. & Pentecost E. (2017). Foreign Direct Investment in the Eastern European Countries: Determinants and Performance. Structural Change and Economic Dynamics 41 86-97. https://doi.org/10.1016/j.strueco.2017.04.005
Wang J. (2010). The Economic Impact of Special Economic Zones: Evidence From Chinese Municipalities. Retrieved from https://editorialexpress.com/cgi-bin/conference/download.cgi?db_name=NASM2011&paper_id=239
Zeng D. Z. (2016a). Global Experiences of Special Economic Zones With Focus on China and Africa: Policy Insights. Journal of International Commerce Economics and Policy 07(03) 1650018. https://doi.org/10.1142/S1793993316500186
Zeng D. Z. (2016b). Special Economic Zones: Lessons From the Global Experience. PEDL Synthesis Paper Series (1). Retrieved from https://assets.publishing.service.gov.uk/media/586f9727e5274a130700012d/PEDL_Synthesis_Paper_Piece_No_1.pdf.