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TRAMES. A Journal of the Humanities and Social Sciences
ISSN 1736-7514 (Electronic)
ISSN 1406-0922 (Print)
Impact Factor (2020): 0.5


Full article in PDF format | DOI: 10.3176/tr.2009.3.06

Daniela Grozea-Helmenstein, Christian Helmenstein, Tatjana Slavova


This paper analyzes the attractiveness of 61 NUTS-2 EU regions as FDI loca­tions, with an emphasis on the Austrian regions and the border regions in the neighbour­ing countries. To this end, the paper proposes a novel benchmarking methodology, which is based on the solution of a non-linear and non-convex optimisation problem and allows for the simultaneous evaluation of all indicators. Based on identical vectors of indicator weights for all regions under scrutiny in two cases and on region-specific vectors in a third case, we construct three different indices of location attractiveness. These differ from each other in terms of the underlying notion of optimality. Intervention-induced rank-engineer­ing is ruled out since all indicator weights are determined endogenously jointly with the algorithmic solution to the optimisation problem. The empirical analysis conducted hereafter, drawing upon output-oriented indicators, demonstrates the applicability of the methodology.


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