1. Foreign Direct Investment in the Chinese Energy Market
If this inflation rate continues to rise, this may mean that the money supply is growing faster than the rate of the economy and could negatively affect our foreign direct investment. ... As mentioned above, there are some issues that could occur if the inflation rate continues to rise, but "The government is likely to put off increases in utility and energy prices and maintain a loose fiscal policy despite the tightening in China's monetary policy" (China Inflation Rate). ... Investment in China has grown rapidly over the past couple of decades and is continually increasing. ....
- Word Count: 3326
- Approx Pages: 13
- Has Bibliography
- Grade Level: Undergraduate