A series of short reports aimed at policy makers examine issues and policies instruments related to inclusive entrepreneurs policy. The key message of these briefs is that there is under-exploited potential among entrepreneurs from non-mainstream groups and that there are many examples of specially tailored policies that are successful in increasing participation that can serve as models for others.
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As a global economic crisis risks becoming a crisis of globalisation, this policy brief looks at the recent performance of trade and FDI, protectionist risks, appropriate policies and the role of the OECD.
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Virtually all governments are keen to attract foreign direct investment (FDI). It can generate new jobs, bring in new technologies and, more generally, promote growth and employment. The resulting net increase in domestic income is shared with government through taxation of wages and profits of foreign-owned companies, and possibly other taxes on business (e.g. property tax). FDI may also positively affect domestic income through
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Private investment is essential for ensuring economic growth, sustainable development and poverty reduction. It increases the productive capacity of an economy, drives job creation, brings innovation and new technologies, and boosts income growth. But the amount of private investment, particularly in African and developing economies, falls short of development needs. And the benefits of investment in emerging and transition economies