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Question 1:
(i) How are education and economic growth connected?
(ii) Explain how the export promotion trade strategy may be more growth promoting for developing economies, in particular, than the import-substitution trade policy.
Question 2:
(i) Discuss the factors that attract and deter foreign investors to developing countries.
(ii) Can developing countries gain from foreign direct investment?
We have earlier studied that the investor may have to carry cash for some time because of discrepancies arising between the timing of the bond's cash-flow and the
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