Janis Zvigulis (Riga International School of Economics and Business Administration)
Investment analysis has been done on the macro and micro level in a handful of studies on many countries and regions. The most commonly used approaches are quantitative analysis of impact of investment on the national growth on aggregated level, as well as impact of investment on a disaggregated level – on specific characterizing indicators of the national economy. The studies tend to present somewhat controversial evidence of impact of investment on the national economy. Likewise, most investment research in Latvia has been done on the macro level. The macro level analysis cannot solely explain the impact of investment on the national economy. Micro level analysis can be used for checking the macro level explanations utilizing a bottom-up approach. Hence, the aim of the paper is to analyze the macro and micro level approaches in investment analysis, conduct analysis of investment impact in Latvia, and derive conclusions about investment impact on the national economy of Latvia as well as put forward a methodological approach for investment analysis in Latvia.