Diasporas And Foreign Direct Investment In China And India

A comparative and historical analysis of foreign direct investment liberalization in China and India, explaining how the return of these countries' diasporas affects such liberalization.

The paper examines diaspora investments in China and India, compared to investments made by Western MNCs, to demonstrate the unique policy role of ethnic investors. In China, ethnic capital (EDI) holds a significant share of incoming FDI, a phenomenon having been noted insufficiently. When EDI is noted, it has been treated as a product of Beijing's pro-FDI policy, rather than the cause of the liberalization. I argue in this paper that EDI has in fact driven the process of pro-FDI policy making in the PRC by demonstrating the superiority of openness and incorporating domestic interest groups in support of FDI. In India, the amount of EDI has been smaller than FDI; total FDI has been much smaller than China also. Conventional wisdom has treated diapora Indians as unimportant in India's economic liberalization since the 1990s. Again, I contend in this article that EDI has also been important for India's FDI liberalization, more quietly than diaspora Chinese in the PRC, to be sure. India's FDI liberalization has generally been more limited than China, with the exception of software, and in this industry, EDI's role was salient.

Welcome to the world of artificial intelligence, where digitalization has transformed the globe worldwide. This book investigates the ‘system capabilities’ and its utilization through the lens of leadership as per its idiosyncrasy. The thesis of this book emphasizes that it is not the form of government but the efficient utilization of the system capabilities by the leadership that make the difference in the socio-political and economic development of any country in the world. It provides a dynamic landscape of globalization, discovering how two economic dynamos—China and India—navigate and shape the complicated web of global relations in the contemporary era.As the world becomes increasingly interconnected, understanding the roles of major players in shaping global systems is crucial. China and India, with their rich histories, diverse cultures, and rapidly evolving economies, stand as pivotal actors in the unfolding narrative of our shared global future.

This book offers a comparative and historical analysis of foreign direct investment (FDI) liberalization in China and India and explains how the return of these countries' diasporas affects such liberalization. It examines diasporic investment from Western FDIs and finds that diasporas, rather than Western nations, have fueled globalization in the two Asian giants. In China, diasporas contributed the lion's share of FDI inflows. In India, returned diasporas were bridges for, and initiators of, Western investment at home. Min Ye illustrates that diasporic entrepreneurs helped to build China into the world's manufacturing powerhouse and that Indian diasporas facilitated their homeland's success in software services development.

This investigation uses state-mobilized globalization as a framework to understand China's capitalism and emergence as a global power.

China's increasing openness to foreign direct investment (FDI) has contributed importantly to its exceptional growth performance. This paper examines China's experience with FDI and identifies some lessons for other countries. Most of the factors explaining China's success have also been important in attracting FDI to other countries: market size, labor costs, quality of infrastructure, and government policies. FDI has contributed to higher investment and productivity growth, and has created jobs and a dynamic export sector. China's success, however, did not come without some pitfalls: an increasingly complex tax incentive system and growing regional income disparities. Accession to the WTO should broaden China's "opening up" policies and continue FDI's contributions to China's economy in the future.

China and India have both received a great amount of focus from the foreign investors. However, there are acute differences in the implementation of the economic reforms; China made rapid progress in the manufacture of high technology products, whilst India progressed in the development of high technology. This book explores the contrasts between China and India in attracting, utilizing and related issues and discusses the challenges faced by the foreign investors.

The type of government and the interplay of macro- and microlevel political institutions affect a country’s ability to attract foreign investment

What happens to a country when its skilled workers emigrate? The first book to examine the complex economic, social, and political effects of emigration on India, Diaspora, Development, and Democracy provides a conceptual framework for understanding the repercussions of international migration on migrants' home countries. Devesh Kapur finds that migration has influenced India far beyond a simplistic "brain drain"--migration's impact greatly depends on who leaves and why. The book offers new methods and empirical evidence for measuring these traits and shows how data about these characteristics link to specific outcomes. For instance, the positive selection of Indian migrants through education has strengthened India's democracy by creating a political space for previously excluded social groups. Because older Indian elites have an exit option, they are less likely to resist the loss of political power at home. Education and training abroad has played an important role in facilitating the flow of expertise to India, integrating the country into the world economy, positively shaping how India is perceived, and changing traditional conceptions of citizenship. The book highlights a paradox--while international migration is a cause and consequence of globalization, its effects on countries of origin depend largely on factors internal to those countries. A rich portrait of the Indian migrant community, Diaspora, Development, and Democracy explores the complex political and economic consequences of migration for the countries migrants leave behind.