Indian Economic Service
Indian Statistical Service Examination, 2023
“FDI has a positive impact on growth and employment but has also resulted in a number of negative externalities.” Comment.
It has been widely acknowledged that Foreign Direct Investment (FDI) is a vital part of economic growth and development in many countries around the world. Nevertheless, like all economic phenomena, it also comes with negative aspects.
Our response will examine how foreign direct investment can have a positive impact on growth and employment while also contributing to negative externalities as well.