search query: @freeterm investments, level of employment, / total: 1
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| Author: | Savin, D. |
| Title: | Izvoz in investicije |
| Journal: | 0
1994 : p. 131-136 |
| Index terms: | |
| Freeterms: | Slovenia, foreign trade, exports, investments, international business, investments, level of employment, economy |
| Language: | slv |
| Abstract: | Tehnology based and capital - intensive business investment is largely demand induced: it response little to direct incentives, such as interest rates, tax incentives or subsidies.The returns on new investments tend to be higher when the existing stock of physical capital is large.It suggest that lack of investment does not just cause a loss of productive capacity in its own right, but also hurts the value of investment already made.For any given savings ratio there is some rate of growth of export demand which will create sufficient investment to balance domestic savings. However if excessing savings prevails export surplus should be yielded to equilibrate aggregate savings and investment. In other words, the country will have to generate sufficient overseas investment to make up for the lack of home investment. |
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