Foreign Finance, Investment, and Aid
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The document discusses various types of foreign finance, investment, and aid that consist of private direct and portfolio investment, public and private development assistance, and remittances from international migrants. It provides details on foreign direct investment from multinational corporations, portfolio investment through foreign purchases of bonds and shares, and public development assistance in the form of bilateral and multilateral aid. The benefits of these financial flows include filling saving-investment gaps, introducing new skills and technology, and reducing poverty. However, disadvantages include the potential for stifling local competition and crowding out of investment.
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This document discusses foreign direct investment (FDI), including why it has increased globally, different types of FDI, factors influencing FDI decisions, and costs and benefits of FDI for both host and source countries. Key points covered include that FDI has grown faster than global trade in recent decades due to factors like globalization and economic liberalization. FDI can take various forms like horizontal, vertical, or strategic asset-seeking investments. John Dunning's eclectic paradigm explains FDI decisions as being influenced by ownership, location, and internalization advantages. Governments pursue different policies toward FDI based on ideological views ranging from free market to pragmatic nationalism.
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Capitalism
Capitalism generates significant inequalities in income and wealth which reduce overall social welfare. While private ownership and market forces lead to economic growth, capitalism also produces goods and services that are harmful or do not meet real social needs. The system is also unstable and prone to economic crises. Some failed capitalist states have extreme poverty, while others require costly bailouts. Islam prohibits practices like usury and monopoly that are necessary for capitalism to grow. In conclusion, capitalism has become a curse by prioritizing profits over people through exploitation, unsafe products, pollution, and corruption.
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Poverty in Pakistan is a growing concern, as nearly one-quarter of the population was classified as poor as of 2006, though this declined to 17.2% by 2008. Some key causes of poverty in Pakistan discussed in the document include lack of education and job skills, materialism weakening social bonds and support systems, division of agricultural land reducing farm viability, and dishonest and irresponsible behaviors undermining the economy. Poverty carries significant health, educational, and social risks, especially for children and homeless families. The document argues that poverty will not end without economic and political reforms that promote equality, transparency, environmental sustainability, and basic human rights for all people worldwide.
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1) The document discusses factors that determine economic output, including inputs like capital and labor, and their productivity. It develops a production function model.
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Elasticity of Demand & Supply
1. This document provides a multiple choice tutorial on elasticity of demand and supply. It covers topics like the definition of elasticity, calculating price elasticity of demand, and factors that influence elasticity like availability of substitutes.
2. It presents 31 multiple choice questions and answers related to these concepts, with explanations for each answer.
3. The questions cover how to calculate price elasticity, what elastic, inelastic, and unit elastic demand mean, and how factors like advertising, budget size, and substitutes influence a product's elasticity.
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The document defines backbiting as saying something about another person that they dislike, whether it is true or not. Backbiting has negative social effects as it destroys respect and love for others. It is prohibited in Islam according to both the Quran and hadith. The Prophet described serious punishments for backbiting, including that it is a worse sin than adultery. The document provides ways to resist backbiting such as guarding one's tongue and opposing backbiting when one hears it.
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Fashion has historically been centered in France from the 1600s to 1900s, with Paris as the fashion capital. Industrialization and globalization in the 1900s expanded the demand for fashion beyond the wealthy to a growing middle class in other cities like Milan and New York. The fashion industry progresses through stages of introduction, growth, maturity, and decline as styles and trends become popular and then fade over time, with fashion fulfilling important psychological needs of identity and cultural expression as well as social functions of affiliation and conforming to standards.
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Foreign Finance, Investment, and Aid
- 1. Foreign Finance, Investment and Aid
- 3. Private direct and portfolio investment Public and private development assistance Remittances of earnings by international migrants Nafisa
- 4. Consist of: Private foreign direct investment (FDI) Multinational corporation Private portfolio investment
- 5. Foreign Direct Investment (FDI) Is The Overseas Equity Investments by Private Multinational Corporations. Characteristics of FDI Invested where best profit opportunities More stability and security for foreigners Concentrated where well developed financial market
- 6. Multi-National Corporations (MNC) Characteristics of MNC Large sized companies having worldwide operations Major force in the rapid Globalization. Global Factories benefiting from price differentials Great bargaining power
- 7. ADVANTAGES: Fills Saving Investment gaps. Fills Trade gaps. Mobilize Public Financial Resource. Introduce new Skills and Technology.
- 8. DISADVANTAGES Stifling competition and crowding out of investment by local firms substantial importation and overseas repatriation of profits Considerably less contribution to public revenue Stifling growth of native entrepreneurship Widen wage differentials Political influence
- 10. Portfolio investment consist of foreign purchases of Bond, Shares, Certificates and commercial papers Prerequisites' for portfolio investment Liberalization of domestic financial market Opening up of the market for foreign investors. Benefits and Risks of portfolio investment Benefits: Raise capital for domestic firm Risk : Destabilize financial and the overall economy .
- 12. Definition Incentive of Migration Rabia
- 13. Advantages of Migration Reduce poverty level Better living standard Increase in Foreign Exchange Disadvantages of Migration Brain drain of skilled labor
- 16. The International transfer of public funds in the form of loans or grants. Ejaz Ali
- 17. Bilateral Aid Multilateral Aid
- 19. Public services Production Business Commodities
- 20. ODA means the net disbursements of loans or grants made on concessional terms by official agencies which include Bilateral grants, concessional loans and technical assistance as well as multilateral flows.
- 23. Political motivations Economic Motivations Foreign Exchange constraints Growth and Savings Technical Assistance Absorptive capacity Muhammad Ali
- 25. Development
- 26. Development Is a process that aims to make things better by: Influencing national and local political processes Helping overcome human rights abuses Protecting the environment Improving education and health care Empowering women
- 27. Conflict Development and Conflict is a “two-way street”: Development causes conflict Conflict impedes development