IDEAS home Printed from https://ideas.repec.org/h/pal/palchp/978-1-349-23169-0_11.html
   My bibliography  Save this book chapter

External Constraints on Private Investment Decisions in Developing Countries

In: Trade, Aid and Development

Author

Listed:
  • E. V. K. FitzGerald
  • Karel Jansen
  • Rob Vos

Abstract

To the extent that structural adjustment consists of more than macro-economic stabilisation, it must logically involve an increase in productive investment in the traded sector so that exports, national income and eventually employment can recover. However, in the view of both the World Bank and its critics (see e.g. World Bank, 1990; Mosley, Harrigan and Toye, 1991), despite a decade or more of strenuous attempts at adjustment, the record of private investment recovery has been poor. In the words of a recent survey of private investment behaviour in developing countries: in many countries, macroeconomic adjustment has not improved the response of private investment. Even when substantial progress has been made in correcting imbalances and restoring profitability — often through drastic cuts in real wages — the effect on private investment has been week and slow to appear. Many of these issues are difficult to explain in the context of conventional investment theories (Serven and Solimano, 1992a, p. 96).

Suggested Citation

  • E. V. K. FitzGerald & Karel Jansen & Rob Vos, 1994. "External Constraints on Private Investment Decisions in Developing Countries," Palgrave Macmillan Books, in: Jan Willem Gunning & Henk Kox & Wouter Tims & Ynto Wit (ed.), Trade, Aid and Development, chapter 11, pages 185-219, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-1-349-23169-0_11
    DOI: 10.1007/978-1-349-23169-0_11
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a search for a similarly titled item that would be available.

    Other versions of this item:

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Ahmet Aysan & Gaobo Pang & Marie-Ange Veganzones-Varoudakis, 2009. "Uncertainty, economic reforms and private investment in the Middle East and North Africa," Applied Economics, Taylor & Francis Journals, vol. 41(11), pages 1379-1395.
    2. Jansen, Karel, 1995. "The macroeconomic effects of direct foreign investment: The case of Thailand," World Development, Elsevier, vol. 23(2), pages 193-210, February.
    3. Marie-Ange VEGANZONES-VAROUDAKIS & PANG & Ahmet Faruk AYSAN, 2006. "Assessing the Responsiveness of Private Investment to Economic Reforms: The Case of MENA Countries," Working Papers 200623, CERDI.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pal:palchp:978-1-349-23169-0_11. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.palgrave.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.