| Abstract: | The main aim of the paper is to evaluate the impact of respect for human rights in post‐socialist countries on the volume of foreign direct investment (FDI). The methodology used in the study consists of the two econometric model specifications–GMM spatial panel Durbin error model and panel gravity ordinary least squares model. The main results indicate a positive and significant relationship between respect for human rights and foreign investment. The outcomes of the spatial model suggest the presence of competition and reinforcement effects of particular kinds of human rights on FDI as well as significance of the ‘human rights distance’. |
