chapter  3
28 Pages

Foreign investment and regional development

ByMichael Bradshaw, Adam Swain

The previous chapter detailed the impact of systemic transformation and the associated economic restructuring upon patterns of regional development and inequality. The first chapter explained the orthodox ‘neoliberal’ recipe for the transformation of Soviet-type planned economies into Western-style market economies. As this chapter demonstrates, the internationalisation of the domestic economy of the post-socialist states is a critical component of both processes: economic transformation and regional change. The aim of this chapter, therefore, is to consider the impact of foreign investment upon patterns and processes of regional development, both at the inter-state level of the 27 so-called ‘transition economies’ and at the intra-state level in terms of patterns of regional development within each state.