Discussion about the positive and negative effects of foreign private investment has been going on for years. In the opinion of the authors, the varying benefits and costs of foreign investments to a host country suggest specific policies to optimise their mix.

The Overseas Private Investment Corporation (OPIC) has been officially in business since January 19, 1971. Its major purpose is to reorganise and widen the scope of programmes for the promotion of US private investment overseas in developing countries.

The pros and cons of direct investment are attracting more and more attention in public discussion. In the following article, Dr Pohle, who was not only a highly successful businessman but also an influential and much respected Member of Federal Parliament, examined the possible positive and...