Before World War II, venture capital investments (originally known as development capital ) were primarily the domain of wealthy individuals and families.

Political capital means the capital that will improve or enhance the NGOs status, possession or access in the existing political system.

That said, the ratio of capital formation does require careful monitoring.

Pick any indicator trade relative to global GDP, capital flows relative to the global capital stock, and so forth all are rising.

More importantly, the crisis highlighted the risks associated with high dependence on foreign capital.

Capital controls, whatever their benefits in terms of mitigating the risks associated with volatile capital flows, are costly in a variety of ways.

Because of the capital utilization effect, the capital labor ratio would not, in fact, decline, and hence there would be no significant effect on the marginal productivity of hours worked.

Also driving China s high investment rate is the declining efficiency of investment capital, reflected in China s high incremental capital output ratio (annual investment divided by annual output growth).

Growth that relies on capital inflows or commodity booms tends to be short lived.

Since high risk premiums on government bonds endanger the capital adequacy of banks, half a solution is not enough.

A bloated and dysfunctional financial system had misallocated capital and, rather than managing risk, had actually created it.

But Chinese policymakers should also recognize the significant risks inherent in relaxing capital controls.

The decline has occurred because, relative to population growth, fixed capital investment, knowledge and skills, and improvements in institutions have not compensated for the degradation of natural capital.

While the right policies cannot eliminate risk, they can ameliorate the cost benefit tradeoff from capital flows.

As above, firm value is enhanced when, and if, the return on capital exceeds the cost of capital.

Such sharing oriented businesses increase the productivity of existing capital, while creating new jobs for workers.

Better repayment prospects and lower regulatory capital costs then fuel the asset based financing of further acquisition of assets.

The latter course risks the worst of all worlds all of the costs of capital controls and all of the domestic policy complications from volatile capital flows, but few of the potential benefits of foreign capital.

(a) In the event the Enterprise elects not to accept 50 per cent of such equity participation, the Enterprise may obtain a lesser per cent on the basis of pari passu treatment with the applicant for all purposes for such lesser participation

Most economists in China seem to support the PBOC s stance, citing the potential benefits of capital account liberalization. But Chinese policymakers should also recognize the significant risks inherent in relaxing capital controls.

Internationally agreed rules stipulate that banks must create capital reserves commensurate to the risks that they take when they invest depositors savings.

Brazil has been aggressive in terms of capital restrictions, twice increasing its tax on financial inflows.

They calculated that 75 to 80 of economic growth did not come from increasing the capital output ratio at least not if the private marginal product of capital was taken as an indicator of the social marginal product.

It requires an industrialization drive, accompanied by the steady accumulation of human capital and institutional capabilities to sustain services driven growth once industrialization reaches its limits.

Today, the global surfeit of liquidity has once again resulted in comparably low risk premia and a resurgence of capital flows, despite a broad consensus that the world faces enormous risks (including the risks posed by a return of risk premia to more normal levels.)

They are better at adjusting to external economic shocks (such as terms of trade declines or sudden stops in capital inflows).

Initial capital

The resulting perception that currency risk was declining bolstered capital inflows further.

If the eurozone maintained its investment rate at the level of the pre boom years, there would soon be much more capital relative to the size of the economy. One might be tempted to say So what?

Moreover, Li has called upon the banking sector to reinvigorate idle capital and allocate incremental capital more effectively.

The United States is emphasizing higher capital requirements.

The Art of Capital Flight

Damming Capital

The Capital Flow Conundrum

Capital flows and remittances

E. Financial capital and resilience

The portion of capital inflows that is not re exported represents net capital inflows.

First, capital requirements should be set as a straightforward ratio of common equity to total assets, thereby abandoning all reference to banks own risk management models.

For example, thenet cash flow to total invested capital and WACC are appropriate when valuing a company based on the market value of all invested capital.

In this context, it is considered vital to re examine ODA so that it is directed at employment promotion and to rectify the imbalance between taxation levels for labour and capital at the national level.

The Siren Song of Capital Controls

Investment and private flows

(o) Working Capital Fund

Regarding the banking sector, stress tests have been applied since 2004, and a target capital adequacy ratio of 12 has been maintained since 2006.

One of them is a reserve requirement on cross border flows successfully implemented in Chile, Colombia, and elsewhere or, even better, on cross border liabilities. Taxes on inflows can play a similar role, as can minimum stay periods for capital inflows.