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India being second most-populous country has immense scope for retail expansion as along with time urbanization and … consumerism has also been increasing. Further, India‘s GDP has also been growing at fast rate as it continued to be the second … because there is positive relation between demand and income. Initially India was conservative regarding FDI; it imposed …
Persistent link: https://www.econbiz.de/10011260948
The massive stocks of foreign exchange reserves, mostly held in the form of U.S. T-Bonds by emerging economies, are still an important puzzle. Why do emerging economies continue to willingly loan to the United States despite the low rates of return? We propose that a dynamic general equilibrium...
Persistent link: https://www.econbiz.de/10011275137
This chapter asks whether the European Union Member States are ready for inward Foreign Direct Investment from the Emerging Markets. It concludes that European Union Member States have relatively open Foreign Direct Investment regimes in the international context, and yet instances of...
Persistent link: https://www.econbiz.de/10009283786
This paper analyzes how the European Union has responded to Inward Foreign Direct Investment from Emerging Markets, particularly in the so-called Strategic Industries. Attention is focused on two sectors which have long been considered strategic assets by most countries around the world for...
Persistent link: https://www.econbiz.de/10009283795
This paper demonstrates that, after integration, equity portfolios of countries that joined the European Monetary Union have converged at faster rate than those of NON EMU countries. This outcome canbe interpreted as a combination of the convergence of inflation rates and the convergence of...
Persistent link: https://www.econbiz.de/10005835584
The shift of perspective from a national basis to a Euro area basis, inevitably induced by EMU, has led member countries to a parallel shift from equity home bias to equity Euro bias. We interpret this evidence by means of a standard mean-variance portfolio selection model modified in order to...
Persistent link: https://www.econbiz.de/10005837092
This paper aims at uncovering the different channels through which de facto financial openness affects economic growth and its components. The results herein indicate that de facto measures of financial openness (as proxied by different types of capital inflows) stimulate economic growth. In...
Persistent link: https://www.econbiz.de/10008543498
Over the last two decades, the degree of international financial integration has increased substantially, becoming an important area of research for many financial economists. This paper explores the determinants of the asymmetries in the international integration of banking systems. We consider...
Persistent link: https://www.econbiz.de/10008472244
The Pedroni method is used to estimate the Feldstein-Horioka equation from 1960-2007 with a panel of 13 OECD countries. It is found that the Feldstein-Horioka puzzle exists in a weaker form with a much reduced saving retention coefficient. The Bretton Woods agreement in particular has weakened...
Persistent link: https://www.econbiz.de/10008527374
We investigate the role of information asymmetries and inflation hedging in shaping international equity portfolios. We confirm, in a multinational setting, Cooper and Kaplanis (1994) result of no inflation hedging motive driving investors' behavior and find evidence of a crucial role for...
Persistent link: https://www.econbiz.de/10005052178