By Peter J. Buckley
The influence of establishment enterprises within the increasing eu groups is big. enterprises from the richer north are developing creation amenities within the south which will penetrate markets, use more affordable labour and achieve entry to uncooked fabrics. This publication examines the result of this intra-EC funding when it comes to its influence on employment in domestic and host international locations and the EC as an entire. 3 new entrants are tested: Greece, Portugal and Spain. Their fiscal stipulations, laws and inventory of international funding are tested. coverage conclusions are drawn for the multinationals themselves, for domestic and host nations and for the EC as an entire.
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Additional info for North-South Direct Investment in the European Communities: The Employment Impact of Direct Investment by British, French and German Multinationals in Greece, Portugal and Spain
However, it is feared that Spain's poorest rural areas will suffer most: a report commissioned by the Madrid Institute of Economic Studies (Lloyds Bank Group, 1985) concluded that the dairy industry would be unable to comply with the higher standards set by the EC without substantial capital and livestock investment. The treaty of accession established a seven-year transition period for nonsensitive Spanish exports to the EC, during which customs duties will gradually be abolished. Among Spain's sensitive exports, fruit and vegetables will have a ten-year transition period, during which the EC is pledged to reduce its external tariffs on an increasing scale.
It shows that approximately 70 per cent of the total foreign direct investment was in manufacturing. Transportation and tourism accounted for most of the rest. The most important industrial recipients in this period were petroleum, basic metals industries, chemicals, electrical machinery and transportation equipment (Papadopoulos, 1985). Non-traditional, relatively technologically advanced industries were thus the main recipients of inward foreign direct investment. It should be noted that two large projects are together responsible for about 30 per cent of foreign capital inflows in this period.
Source: ETBA, Investment Guide in Greece, ETBA (Athens, 1983). Reproduced from Papadopoulos ( 1985). 890 108 1l 51 46 7 1114 102 22 66 44 18 28 3 9 106 30 25 65 8 71 38 86 31 16 122 No. 2 +:>. 3 shows foreign direct investment in Greece under Legislative Decree 2687/1953 from 1982 to 1984. 3 Foreign investment by sector and capital approved under the provisions of Legislative Decree 2687/1953 (1982-4) (US$) Sector A No. 2 Industry by branches I. Food products, beverages 2. Tobacco 3. Textiles 4.