Sample Essay

Foreign direct investment (FDI) plays a principal role inUnited Stateseconomy, both as a key driver of the economy and a chief basis of invention, exports and employment. TheUnited Stateshas given the overseas investors a steady and friendly market. As a place for trade theUnited Statesgives a clear and conventional legal system, small taxes and superior infrastructure and gives admittance to the world’s most profitable market.

TheUnited Statesis the chief beneficiary of the FDI. More than 325.7 million dollars gushed through US in 2008 which is a drastic augment of 37 percent in 2007. The 2.1 trillion dollar reserve of FDI in theUnited Statesat the conclusion of 2008 is equal to about 16 percent gross domestic product (GDP). Overseas cash inflow is very beneficial forAmericaas it assist in growing of the economy

India

The recent economic recession was a big blow to the world economy, but nations seem to be recovering from it with the passage of time. However, the Indian economy is still going downhill owing to corporate restructuring, fall in exports and increase in capital outflow. The global meltdown has left behind its traces, in the form of tax deductions and they are believed to stay awhile. Large businesses can now benefit from the credit facilities available at the corporate level due to the position of liquidity being powerful in the market (Mishra, 1, 2010)

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