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CHAPTER 14: FOREIGN FINANCE, INVESTMENT, AID, AND CONFLICT: CONTROVERSIES…
CHAPTER 14: FOREIGN FINANCE, INVESTMENT, AID, AND CONFLICT: CONTROVERSIES AND OPPORTUNITIES
The International Flow of Financial Resources
3 sources:
Remittances of earnings by international migrants
Public and private development assistance
Private direct and portfolio investment
Private Foreign Direct Investment and the Multinational Corporation
Multinational Corporation (MNC)
The Role and Growth of Remittances
"Brain Drain"
Uneven flow of remittances
Wage differences
Foreign Aid: The Development Assistance Debate
Amounts and allocations: public aid
Official development assistance (ODA)
Why donors give aid
Political motivations
Economic motivations: two-gaps models and other criteria
Growth and savings
Technical assistance
Foreign exchange constraints
Absorptive capacity
Economic motivations and self-interest
Conceptual and measurement problems
Conflict and Development
Consequences of armed conflict
Destruction of wealth
Worsening hunger and poverty
Loss of education
Health
A torn social fabric
Causes of armed conflict and risk factors for conflict
Natural resources for basic needs
Struggle to control exportable natural resources
Horizontal inequalities
Scope of violent conflict and conflict risks
Resolution and prevention of armed conflict
Global actors
Regional actors
National actors
Focus on education
Local, "community-driven" economic development
Importance of institutions
Prepared by: Siti Hajar Binti Rodzi (62551) & Nurul Atiqah Binti Mohammad Sadzilan (62230)