The Effects of Foreign Direct Investments for Host Country’s Economy

Selma Kurtishi-Kastrati

European Journal of Interdisciplinary Studies, 2013, issue 01

Abstract: Foreign Direct Investment (FDI) is seen as the fundamental part for an open and successful international economic system and a major mechanism for development. In this circumstance, the paper examines the benefits of FDI as a key component for successful and sustainable economic growth and also as a part of a method to social improvement. The aim is to highlight the most important channels through which FDI makes a significant and exceptional impact on the economic development of the host countries. At the same instance, it is important to recognize that, like all things, FDI is not all good no bad. A separate discussion is devoted to the potential negative impacts of FDI flows on host economies.

Keywords: FDI; resource transfer effects; international trade; privatisation (search for similar items in EconPapers)
JEL-codes: F21 F40 L33 M0 (search for similar items in EconPapers)
Date: 2013
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Citations: View citations in EconPapers (2)

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Persistent link: https://EconPapers.repec.org/RePEc:jis:ejistu:y:2013:i:01:id:369

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