The Mojo, Dodgy, And Dingy Dominance of Domestic Deeds on Foreign Direct Investment in Emerging and Transition Economies (Published)
Insufficiencies of empirical research were found regarding the flow of Foreign Direct Investment (FDI) to Emerging and Transition Economics (ETEs) as compared to other economies. This study was designed to analyst domestic deeds that positively, negatively, and horridly affected the flow of FDI to ETEs and determine if they were the same for all ETEs. The results paralleled existing FDI literature including extensive and established theories. First, bivariate and multiple regressions analysis were conducted to determine whether ETEs domestic deeds (political stability, domestic credit, level of GDP-ETEs, level of corruption, and availability of mineral resources) significantly impact on the inflow of FDI to their countries. The correlation amongst GDP and FDI was significant (r =.91, p < .01), political stability was significant (r =-.23, p <.05), and availability of domestic credit was significant (r =.27, p < .05). Additionally, analysis on regional deeds variables (telephone lines and RI) revealed that telephone lines was a robust predictor of FDI (ß = .38, p < .05) and RI (ß = .57, p < .05).
Introduction: Poverty and income inequality were two main problems of Brazil. In order to solve these problems Brazil have taken different policy initiatives. The economists call it an innovative anti-poverty and inequality model. Objectives: The objectives of this paper is to study different aspects of Brazilian innovative anti-poverty and inequality model and its impact on Brazilian society. Another objective to study is whether this model is specification in its applicability or it may be applied on other medium-income economies because income inequality and poverty are the common problems of almost all developing countries. Methodology of study: This is a qualitative research study in which we have studied different characteristics in general terms and policies introduced by Brazilian government during 2000-2010 period. We have used secondary data extracted from the database of IMF, World Bank, US Federal Reserves, US Bureau of Economic Analysis and relevant journals. Findings & Results: Our study finds hat poverty in Brazil has reduced from 17 percent in 2000 to 8 percent in 2010. The evidence also shows that the wealth of the richest 20 percent of upper class was decreased during 2000-2010 due to high tax rates payment and the income of lowest 20 percent quintile was increased from 2.6 percent to 3.5 percent in the same period. It shows that the income of lower class was increased while the wealth and income of upper class was decreased during 2000-2010. The study also reveals that about half of poor segment of Brazilian population has come out of poverty trap in a short span of just 10 years.