Relationship between the Consumption and the Capital Involvement in Central and Eastern European Countries

Result code in IS VaVaI

<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F46747885%3A24310%2F15%3A00003054" target="_blank" >RIV/46747885:24310/15:00003054 - isvavai.cz</a>

Alternative codes found

RIV/00216275:25410/15:39897749

Result on the web

<a href="http://www3.ekf.tuke.sk/cers/files/zbornik2014/PDF/Kraft" target="_blank" >http://www3.ekf.tuke.sk/cers/files/zbornik2014/PDF/Kraft</a>

DOI - Digital Object Identifier

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Result language

angličtina

Original language name

Relationship between the Consumption and the Capital Involvement in Central and Eastern European Countries

Original language description

The Central and Eastern European countries (CEE countries) began to restore or more precisely establish a market economy in the nineties of the last century. Domestic capital resources were mobilized in the privatization processes and the sector of small and medium enterprises was being developed. In that period, which was characterized by an increasing rate of global product network formation, the CEE countries could also represent an interesting market for foreign capital searching for the environment for a high level appreciation. The market was distinguished by a relatively low-cost but concurrently educated workforce. The focus of the research presented in this article is the link between the capital involvement and the impact on the consumption price level. It is generally assumed that the capital seeks the regions with a relatively lower wage level. It is related to the lower purchasing demand which may be only saturated if the lower price level of consumer commodities is provided. Based on the development of selected indicators on the one hand of the capital involvement and the level of wages and consumer prices on the other hand, the relations between economic phenomena are analysed in the group of selected CEE countries. The level of differences is evaluated within researched countries in the given trend.The aim is to verify the hypothesis related to the main allocation factors of the capital with an emphasis on the relationship: low labour costs evoke low level of consumption prices in the country and/or region. It is important to see that the capital involvement is not only dependent on the economic factors but on non-economic ones as well, e.g. on political stability..

Czech name

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Czech description

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Type

D - Article in proceedings

CEP classification

AE - Management, administration and clerical work

OECD FORD branch

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Project

<a href="/en/project/TD020047" target="_blank" >TD020047: Regional Price Index as an Indicator of Real Social and Economic Disparities</a><br>

Continuities

P - Projekt vyzkumu a vyvoje financovany z verejnych zdroju (s odkazem do CEP)

Publication year

2015

Confidentiality

S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Article name in the collection

5th Central European Conference in Regional Science International Conference Proceedings

ISBN

978-80-553-2015-1

ISSN

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e-ISSN

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Number of pages

11

Pages from-to

450-460

Publisher name

Technical University of Košice

Place of publication

Košice

Event location

Košice

Event date

Jan 1, 2014

Type of event by nationality

EUR - Evropská akce

UT code for WoS article

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