Possibilities of application of statistical methods for evaluating regional differentiation of foreign direct investment in the Czech republic in 2008

Abstract

This paper concerns the usage of statistical methods for disclosing regional differentiation of economic indicators on the example of Foreign Direct Investment (FDI) in the Czech Republic in 2008. One of the commonly used statistical methods for measuring regional inequality is the Theil index that belongs to a group of generalized entropy measures. The big advantage is its ability for complete decomposition into inter-regional and between-regional component. This can be used in comparison of regional differentiation at different territorial levels. In this paper the regional differentiation in FDI at regional (NUTS III regions) and microregional (LAU 1 regions) level was examined.