Discussion QuestionThe wealthier nations invest in less wealthy nations directly through setting up theirmanufacturing, service, and sales operations abroad. The wealthier nations also transfer moneyto the less wealthy nations indirectly by investing in firms owned by entrepreneurs in thosecountries. The return flows of money consist in part of profits earned abroad by firms located inwealthy nations. However, they also consist of profits to owners in the less wealthy nations thatare then sent to wealthy nations (Hamilton, 2006). However, this picture has its other side, whichis much da ...
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