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Regional Growth in Hungary - The Impact of European Economic Integration

The author investigates the impact of FDI intensity, export orientation, and regional specialisation on regional growth in Hungary. Findings indicate that the share of agricultural employment and the change in export orientation of the regions are the paramount determinants of regional growth. Investment per capita, the change in the employment rate, FDI density and the change in regional specialisation are found to enhance regional growth in some but not all specifications.