It plays a vital role after reforms 1991. It directly and indirectly helped the entrepreneurs to became billionaire today.
Dear Friends and Colleagues of RG Do you agree with my opinion that in many developing countries the influence of foreign direct, capital and financial investments is significant. However, the analysis of this process in individual countries results in a significantly different scope and nature of the impact of foreign investment capital. According to the doctrine of classical economics, all countries should benefit from opening up the economy to foreign investments and the development of trade, including the export and import of economic goods. However, are all countries always benefiting from this process economic benefits and the process develops faster?
Do you agree with me on the matter?
Please reply
I invite you to the discussion
Best wishes
In the context of the above considerations, the following question is also current:
How does economic globalization change financial systems?
Does the globalization of financial markets increase the scope of potential systemic credit risk in the sphere of financial systems, including banking systems with particular focus on investment banking?
In the context of the development of international capital markets, the development of stock exchanges, increasingly globalized and related, the importance of globalization of financial markets, including capital markets and stock exchanges, is increasing.
On these capital markets, there are also increasingly large, internationally operating investment banks and investment funds, whose profits generate increasingly from speculative transactions of securities issued by companies and the public sector, including also Treasury bonds of other countries.In addition, currency markets are growing, on which speculatively operating internecional banks and hedge investment and investment funds also speculatively.
Before the emergence of the global financial crisis in 2008, it was mainly investment banking that approved the excessive levels of credit risk and speculative, too high, overvalued valuations of securities on stock exchanges.
The recent global financial crisis that appeared in autumn 2008 was an example of the increase in potential systemic credit risk in many countries in which the governments of these countries through the issue of government bonds and their sale to foreign investors led to a significant increase in the risk of a liquidity crisis in the state finances and in many smaller economies, they generated major crises in the debt of state finances.
Do you agree with my opinion?
Therefore, I am asking you the following questions:- What impact does economic globalization have on the potential increase in systemic credit risk on a supranational scale?
- Does the globalization of financial markets and the development of growing global banks and investment funds increase the level of potential systemic credit risk, increase the risk of destablization on many capital markets and thus increases the likelihood of generating another global financial crisis?
- Does the globalization of financial markets increase the scope of potential systemic credit risk in the sphere of financial systems, including banking systems with particular focus on investment banking?
Please reply
I have described these issues in recently published publications:
Article CURRENT AND HISTORICAL DETERMINANTS OF GLOBALIZATION PROCESSES
Article Globalization and the process of the system and normative ad...
Article Anti-crisis state intervention and created in media images o...
Article THE DEVELOPMENT OF THE BANKING SYSTEM IN POLAND DETERMINED B...
Article Adjustment of Polish banks to international standards as a f...
Article THE IMPORTANCE OF ECONOMIC GLOBALIZATION IN THE CONTEXT OF T...
Article Social and economic determinants of the processes of economi...
Article ADMINISTRATIVE, LEGAL AND SUPERVISORY DETERMINANTS OF GLOBAL...
Article The Processes of consolidation and concentration of capital ...
I invite you to discussion and scientific cooperation
Best wishes
The impact of investments carried out in a given country by foreign companies and financial institutions can be positive and support the country's economic development. However, this has not always been the case in all countries. what will be the effects of foreign investments in a given country depends on many factors, including the type of capital involved, the type of financial transaction, the investment objective, the economic, market and institutional environment of the country where the investments are made and the country from which the foreign capital originates, the relationship economic and political relations between these countries, etc.
What's your opinion on this topic?
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