Abstract
dc:description"The last essay presents a framework for analyzing indirect foreign investment flows when enforcement of private contracts is inadequate. We analyze conditions under which investment decisions are affected by a repayment incentive constraint, and study when ""under investment"" occurs. The optimal investment level is shown to be affected by changes in (i) the discount factor, (ii) the size of the domestic capital stock, and (iii) the world interest rate. We consider two policies that are frequently used by multilateral organizations: technical assistance and loan subsidies. We show that these policies improve welfare and provide a rationale for the operation of organizations such as the World Bank in conjunction with private markets."
Degree
thesis:*- Name thesis:degree_name
- Ph.D.
- Level thesis:degree_level
- Dissertation
- Discipline thesis:degree_discipline
- Economics
- Grantor
- University of Illinois at Urbana-Champaign
- Year dc:date
- 2015
Author and committee
dc:creator, dc:contributor.*- Author dc:creator
-
- Asiedu, Elizabeth
- Contributors dc:contributor
-
- Villamil, Anne P.
Subjects
dc:subject × 1Rights
- Language dc:language
- eng
Identifiers
dc:identifier.*- Identifier
- (MiAaPQ)AAI9904383
- OAI identifier oai:identifier
- oai:www.ideals.illinois.edu:2142/85629