This paper asks: what can governments of new member states do to encourage MNEs to invest in R&D? There are two types of MNE R&D. Innovation can be undertaken in order to adapt its existing products and services to local stimuli. This is 'demand-driven R&D'. Innovation can also be in stand-alone...

Migration of skilled workers from developing countries has increased substantially in recent years. Traditionally, such patterns raised fears on the ground of the associated 'brain drain' as human capital formation is considered to be of central importance to the development and reduction of...