Buy custom Should Rigorous Controls Be Imposed on Transnational Capital Flows?

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Differences in environmental standards causes investment flow to developing countries having less

stringent environmental standards to reduce production costs, which adversely affects the

environment.

II.i Problems Associated with Free Capital Flows

International capital flows are highly sensitive to domestic macro-economic policies, the soundness of

banking systems, and other economic and political developments...

Short-term capital flows are often volatile and subject to surges and sudden withdrawals, adversely

affecting developing countries.

2. They might also result in loss of autonomy in fiscal policy decision-making national governments

II.ii Pointers to Impending Financial Crisis

Pointers Examples

1) Liberalization of the economy with very weak regulation...

General points of the essay

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