UGS 303 Lecture Notes - Lecture 11: Foreign Direct Investment, Portfolio Investment, Fixed Capital

• School: UT-Austin
• Department: Undergraduate Studies
• Course: UGS 303
• Professor: K Greene

Document Summary

Investment: risks and rewards of free trade (last lecture) Investment in ixed capital stuf rooted in place (ie: a factory, land for development, housing complex, energy production) Purchases of the stock of a company in another country. When portfolio investors take their money out of an economy really fast. Mexico: happened because investors got scared about health of the economy, took money out in about a week, downturn. Economy has shifted substantially over the past 23 years. Us exporters who can sell to mexico. Us importers who can outsource manufacturing to mexico. Unskilled workers fight hard for their jobs. Others workers ally: your job might be next!