Open door policy

Ayman Shaukat
Mind Map by Ayman Shaukat, updated more than 1 year ago
Ayman Shaukat
Created by Ayman Shaukat about 4 years ago
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The way it has improved development
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Open door policy
1 SEZ's Increased foreign investment from TNCs due to incentives (tax cuts)
1.1 Allows for economic development through inreases in infrastructure, human and physical capital due to investment
1.1.1 Results with increased inflow of foreign capital, transfer of technology and management skills improves employment
1.1.1.1 Increases in GNI, GNI/capita and AD through more investment and exports and increaes in human and physical capital leading to growth in AS (productive capacity). Also mention job creation due to TNC production facilities.
1.1.1.1.1 Leads to increases in growth both in the short term and long term and increases in development (through more capital, infrastructure and GNI/capita increases)
1.1.1.1.1.1 Also an increase in the standards of living
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