International Investment Role in Development Essay

Exclusively available on Available only on IvyPanda® Made by Human No AI

Foreign assistance plays a substantial role in promoting the social and economic development of a nation. For instance, a considerable number of countries that have received foreign assistance and utilize it well have registered faster growth and development. A good example is South Korea was among the poor nations during the 1950s but currently, it is considered a middle-income nation. However, economical and political policies that are strong must be put in place to facilitate foreign aid inflows functioning. The presence of political goodwill will also facilitate the functioning of foreign assistance in development.

International charity on the other hand, through the creation of several charity agencies in developing nations, will help in supporting development projects that are aimed at building capacity and empowering community members (Koschorke 47). The funded projects are mainly labor-intensive hence creating employment for the members. Charity is also used to support reform initiatives as well as strengthen the institutions that are present in an economy. These institutions include legal and democratic institutions that form the core for economic prosperity (Lancaster 77). Also, most countries utilize charity for capital accumulation which facilitates the creation of more wealth in a nation.

International investment also facilitates the economic development of a nation. It is indispensable that international investment is the main engine of growth. It ensures proper management of resources, penetration to world markets, a competition culture, as well as technology (Siebert 22). Also, international investment ensures new marketing channels and markets, and at the same time cheaper production facilities. The other crucial role involves the internalization of business, foster liberalization, developing new information and communication systems, privatization coupled with deregulation of several industries. As such, international investment facilitates the expansion of the economy, and as a result, it will ensure sufficient growth and development of the economy.

Work Cited

Koschorke, Klaus. (2002). Transcontinental links in the history of Non-Western Christianity. Otto: Harrassowitz Verlag.

Lancaster, Carol (2007). Foreign Aid: Diplomacy, Development, Domestic Politics. USA: University of Chicago Press.

Siebert Horst. (2006). The World Economy: A Global Analysis. London: Routledge.

More related papers Related Essay Examples
Cite This paper
You're welcome to use this sample in your assignment. Be sure to cite it correctly

Reference

IvyPanda. (2020, December 30). International Investment Role in Development. https://ivypanda.com/essays/international-investment-role-in-development/

Work Cited

"International Investment Role in Development." IvyPanda, 30 Dec. 2020, ivypanda.com/essays/international-investment-role-in-development/.

References

IvyPanda. (2020) 'International Investment Role in Development'. 30 December.

References

IvyPanda. 2020. "International Investment Role in Development." December 30, 2020. https://ivypanda.com/essays/international-investment-role-in-development/.

1. IvyPanda. "International Investment Role in Development." December 30, 2020. https://ivypanda.com/essays/international-investment-role-in-development/.


Bibliography


IvyPanda. "International Investment Role in Development." December 30, 2020. https://ivypanda.com/essays/international-investment-role-in-development/.

If, for any reason, you believe that this content should not be published on our website, please request its removal.
Updated:
This academic paper example has been carefully picked, checked and refined by our editorial team.
No AI was involved: only quilified experts contributed.
You are free to use it for the following purposes:
  • To find inspiration for your paper and overcome writer’s block
  • As a source of information (ensure proper referencing)
  • As a template for you assignment
1 / 1