ABSTRACT
This chapter aims to determine whether Poland's integration with the world economy has kept pace with the general rate of globalization. Foreign direct investment (FDI) inflows and outflows indicate the extent of host country participation in and contribution to the globalization process. The chapter focuses on the evolution of world trade over the decade of 1990 - 2000. Then, Poland's share in world trade over the same period is assessed, using both per capita and total trade volume data, as well as trade to gross domestic product (GDP) ratios. The transnationality index essentially measures the relative significance of FDI in a given economy. The index is calculated as the average of the four indicators. These are FDI inflows as a share of gross fixed capital formation; FDI inward stock as a percentage of GDP; value added of foreign affiliates as a percentage of total national value added; and employment of foreign affiliates as a percentage of total employment.
