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A high-level panel set up by the government to overhaul the foreign investment regime in the country is set to recommend that any investment above 10% in a company's equity be classified as foreign direct investment (FDI) and below that as portfolio investment. This article conveys a change in the perspective of FDI. The committee has significantly scaled down its ambitions from reported draft proposals that had gone to the extent of suggesting significant reforms in the overseas investment regime. The committee is now likely to stick to the task assigned and only make recommendations regarding the distinction between foreign direct investment and foreign portfolio investment (FPI).The panel has refrained from suggesting any change in the limit on overseas investment, the official said. The default cap for foreign portfolio investment will continue to be 24%.

Foreign direct investment in Mexico has increased 178 percent in 2013 from the the $12.7 billion seen in 2012. The increase in foreign direct investment was stimulated through economic reforms in industries ranging from telecoms to energy, which was pushed through Congress by President Enrique Pena Niet. The economic reforms has lured in many investors. Increase in foreign direct investment can help stimulate aggregate demand in Mexico, since there are an increase in capital inflows into Mexico. With an increase in aggregate demand, the country GDP can increase, and therefore contribute to economic development. The article also states that the investment was largely made into manufacturing sector. This could help contribute to research and development for machines or technology.

PARIS - President François Hollande of France has begun a major charm offensive to convince the world that France is open for business in a bid to lure back investments, which have slumped since he took office. In this article author talks about the measures taken by the president of France François Hollande. Recently he has gathered chiefs of the largest multinational companies and investment funds to speak about the needs of France in the investments. He has admitted that France may appear as a country with some complexity in the process of investment, however, France is ready to open itself up. Article also talks about some other aspects one of them is the measures taken by the government related to government spending and taxation.

This is a great article primarily because of its recent nature. As can be seen from the date (it was published today, february 14th) this article serves as a great example of the impact that foreign direct investment can have on a nation. This particular article outlines the consequences of a decrease in FDI for Ukraine.

This article talks about how the government is trying to Real GDP of the country by lowering the taxes on exporting oil prices. By doing this the governmnet has enevitably increased the Real GDP because siince the oil firms FOP cost less they can now supply more oil, also the price will rise from 42$ per barrel to 70$ per barrel meaning that the oil firms will even make more of a profit. Again since the taxes have decreased it will cause foreign investments in the oil industry of Argentina since they just discovered that Argentina is setting on one of the biggest oil deposits. so overall, the long term aggregate will shift to the right, an increase in the real GDp

Argentina has devised a new system of export taxes on oil shipments that will cut taxes, as the government seeks to encourage investments to revive production. The change means energy companies will receive $70 per barrel of exported oil, up from $42 previously. Argentina controls the price of oil exports in order to guarantee domestic supply. The reform means that the state will only retain the difference between the market prices, meaning increased revenue for oil companies that export crude. The long run aggregate supply is expected to shift the right, an increase in the real GDP.

It is an article about supply side policies in Africa specially investing in human capital in order to increase the potential output of the African countries. We know that education creates positive externalities and the benefits of education and training are not just felt by those who receive education, it will help the economy as a whole because it will increase the potential output of the economy. Greater regional integration and investment in social entrepreneurship and industry are also necessary for inclusive growth. Competition hast the effect of encouraging greater efficiency. Therefore, any policies that increase competition will increase efficiency and improve the productive potential of an economy. After reading this article I research a bit about the economic growth in Africa and I found this: Six of the world's ten fastest growing economies of the past decade are in sub-Saharan Africa. A clutch of countries have enjoyed growth in income per person of more than 5% a year since 2007.

It is a nice article about the central bank in my country Poland. The central bank in poland uses changes in interest rates to keep the inflation rate within the targeted range of 2.5% plus or minus 1%. This week the central bank has reduced the key rate by 25 basis points to 3 percent. As we know, a decrease in inflation will lead to the increase in consumption and investment. The consumption is the total spending of consumers in domestic products. With lower interest rates, consumers will borrow more money from the bank and they will spend more, so the AD curve will shift to the right. Investment is defined as the addition of capital stock to the economy. Lower interest rates will encourage the producers to spend more on investment. Another thing to take into consideration is that the decrease in inflation will make the exports from Poland more competitive in foreign countries where the inflation rate is much higher. Targeting inflation, whether explicitly or implicitly, is said to be beneficial as it results in a reduction in inflationary expectations. If the workers do not expect higher inflation then they will not make demands for increases in wages any higher than the expected rate of inflation and this will keep the costs of labour from rising excessively. Poland has enjoyed uninterrupted annual growth for the past two decades, and for a while after the financial crisis of 2008/9 the economy continued to defy the global downturn. However last year gross domestic product growth slowed to about two percent, less than half the pace in 2011, as infrastructure spending tailed off and the gloom from the euro zone started to filter through to previously bullish Polish consumers.

The United States remains desperate for faster growth and stronger job creation as it continues its slow recovery from the 2009 recession. Peter Blair Henry, the dean of NYU's Leonard N. Stern School of Business states private investment is falling $1 trillion short per year due a to disputes over the "fiscal cliff," the federal borrowing limit and other issues." Monetary policy and fiscal policy are working at "cross purposes" - one is expanding while the other contracts." Governments should save money during times of economic prosperity and spend it to boost the economy when growth decreases. Lawmakers should prioritize predictability in policymaking to trigger private investment and government investments, particularly in education, should be off-limits to cuts. Henry points out that a solution to closing the wage gap is to produce more skilled workers. Raising taxes on the highest tax bracket may also be part of the solution to overall sustainability concerning the fiscal side, but not a solution for income inequality.

Currently the Obama administration is talking about finding new ways to create jobs and stimulate growth. However, it has proved to be unsuccessful, as the only policy that will really help is an increase in aggregate demand. The article explains that aggregate demand simply means spending: "spending by households, businesses and governments for consumption goods and services or investments in structures, machinery and equipment." At the moment, businesses should not to invest because there is lack of consumer demand. The federal government could increase aggregate spending by directly employing workers or undertaking public works projects yet this proves to be difficult. The author explains that the most important thing is for policy makers to stop focusing on debt and attempt instead to raise aggregate demand.

THis article talks about how the recession has effected America and what America really needs is an increase in aggregate demand. That is the increase in consumption, investments, exports etc. They say that a direct solution to increase aggregate demand would be an increase in aggregate spending by employing citizens in public projects controlled by the government and if that isnt enough then its all up to the citizens. It then talks about how consumer confidence significantly effects spending. that is if house holds feel that they are rich, then they dont feel the need to save and as a result of that they spend the money they were going to spend and vice versa.

In this article, Pakistan's Federal Minister, Ahsan, vows to invest in Human Resources for Economic Development. A skilled population and knowledge based society would be the "solution" Ahsan believes. He also believes that economic development may be achieved through community volunteering in Masses.

The trading bloc presents in the article is the ASEAN trading bloc, which includes 10 nations. India and ASEAN are negotiating on a free trade agreement on services and investments. However, some nations of the ASEAN have not agreed on the agreement. The agreement, if implemented, will help boost movement of Indian professionals in the ASEAN region and it will increase more investments in services sector. This article is a great example of a trading bloc and how nations that are a part of the trading bloc must agree on an agreements. Here, India is not negotiating with all 10 nations instead of just one. Combining all nations help strengthen all nations economically.

Hong Kong government has decided to impose 15% excise tax on property in Hong Kong that is bought by foreigners. This is a difficult measure for many foreigners wishing to purchase houses in Hong Kong. Some foreigners that has been around for several years are also not feeling as happy as before. Some clients are also thinking about leaving. The government primary reason is to protect its economy from inflating property resulting from foreign investments, low interest rates, and limited supply of housing in the market. Clearly, this situation is related to the topic of excise tax, or specifically, ad valorem tax- fixed percentage is charged on a particular good. This has led to an increase in price, which leads to a fall in demand from foreign investors that wish to invest in Hong Kong properties. This shows that properties are in fact elastic products, but government is able to impose tax since it does not affect the producers dramatically and it does not affect the majority of the consumers. Only foreign investors are affected. Realtor can still generate sales from local investors.

Danish government aims to reduce corporate tax to 22% by 2016. It also aims to increase international competitiveness by offering tax credits, reducing energy tax and public investments. This amendments is implemented in the hope of stimulating growth and make it more attractive for foreigners to run a business in Denmark. Reducing corporate taxes allow companies to have more capital for investments. This could potentially increase factors of production. This wil give corporate incentives to produce more efficiently. In all, this policy can produce a shift in the supply curve to the right, giving positive supply-side benefits.

What this article talks about is the two points of view, which are completely different in nature, to why the US economy is failing. The one point of view is that there is too little aggregate demand and an excesive supply of wasted potencial. The other view is that there is too much government intervention. It talks about how the recession has effected investments and aggregate demand and therefore decreased the average wages of the country. The article states that a solution to the problem would be the fiscal policy where the governmnet would lower percentage taxes in order for the rich to start investing again. This would then promote the recovery of the economy.

It is an article about the important of fiscal policies in the emergent economies, where the fiscal policies remain very conservative. The fiscal policy would be very helpful to continue the economic growth and create jobs. The fiscal policy is a very good method to encourage greater consumption or investments, and as when know, when there is an increase in investments or consumption there will be an increase in the aggregate demand. Axa Framlington fund manager Julian use as example the Mexico's economy that is demonstrating a strong economic growth because they use efficiently the fiscal policy.

Due to big events like the Olympics, the country receives a lot of overall income due to all the visitors of the such events. It will boost up the GDP since it measures all the assets produced in the economy and due to the event more assets are produced than normally.

It's a great article about the relationship between the consumption, the investments, the government spending and the economic growth. The investments of the firms in the UK and the government spending of the UK government related to the Olympics have brought important benefits to the consumers. The consumption (Consumption is the total spending by consumers on domestic goods and services) in the UK have increased and this have produced an economic growth in the country. Also we can't forget that it have brought other benefits like tourists, fame, sponsors, new companies, new stadiums...

This article talks about what should be the equilibrium price for a barrel of oil that benefits both the consumer and producer. The OPEC (Organization of petroleum exporting countries) talk about how high prices help the petroleum organization make investments in renewable fuels, but high priceces would hinder consumers as they now have less to spend on other products. The OPEC also talks about the effects of low prices where it would benefit the consumer but disadvantage the producer investing in renewable fuels. Therefore they have come to the conclusion that the price of a barrel of oil should be between 70-80 Dollars a barrel where bothe the producer and the consumer are happy. Saud Arabia ( the biggest exporter of oil) has agreed to the price of 75 dollars a barrel.

I have chosen this article because it is related with our current topic FDI and because I think that Turkey is one of the developing countries that are making a very good use of it. The article reports the distribution of the FDI in the economy and the changes in FDI from last year. According to the article: "Turkey received foreign direct investment (FDI) of $12.6 billion in 2013, a drop of 4.1 percent compared to 2012". I think that nowadays one of the biggest advantages of Turkey is the closeness to the EU market. This advantage and the good infrastructural base grant Turkey a great potential.

Last month, governor Joko Widodo has taken over the top job in Jakarta, as he has agreed to raise minimum wage. From the previous amount of 1.53 million rupiah, the new governor has agreed to increase the wage to 2.2 million rupiah. Suppliers are grumbling as one shoe owners states that "that large an increase is irrational" and is not sure if "buyers will be willing to pay more." In addition, high wages may prompt inflation, and discourage investment as suppliers are detrimentally affected. There is a critical balance that must be struck between the impacts of the people and the cost of the suppliers.

It is an article about the recession and unemployment in Spain. The unemployment is a very serious problem in Spain because the rate of unemployment is about 25% or more so is a lot. This article report that the Spanish situation is stabilizing but we can´t assume that is the end of the recession and the start of the new business cycle. The business cycle is the periodic fluctuations in economic activity measured by changes in real GDP. Output cannot continue to fall for ever as there will always be some people with jobs to maintain a given level of consumption, foreigners will demand exports, governments will continue to spend by running budget deficits, and people will be able to use savings to finance their consumption. Additionally, the low demand for money for investment will result in lower interest rates. Thus, aggregate demand will pick up, the economy will enter the recovery phase, and the cycle will repeat itself. So after the recession the national economy of Spain will suffer an economic growth, the amount of the goods and services produced by an economy over time will increase.