FDI now plays a complementary and dynamic role to local investments in Developing Countries . besides the financial capital it brings , more importantly it introduces technology, that sets off a diffusion effect with far more impact. Its entry enhances productivity and , by setting new standards , catalysis increased competitiveness in the domestic economy .Linkages trough relationship of suppliers and distributors generate a multiplier effect . The impact is greater when the domestic economy itself is developing . Therefore along with policies for attracting FDI there must be an equally supportive environment for development of the domestic private sector .This paper look on the right approaches to attract FDI to Arab Countries trough analysis the Economic factors that affect on the investment climate , specially, financial , monetary and external balance policies adopted by Arab Countries in order to using these factors in account the Composite investment climate Index of economic policies and to built statistics model to study the relation ship between FDI AND Economic policies . finally presented some suggestions in order to improving the investment climate in Arab Countries
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Paper provided by University Library of Munich, Germany in its series MPRA Paper with number
8369.
Find related papers by JEL classification: E61 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Policy Objectives; Policy Designs and Consistency; Policy Coordination
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Slade, Margaret E, 1989.
"Price Wars in Price-Setting Supergames,"
Economica,
London School of Economics and Political Science, vol. 56(223), pages 295-310, August.
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