Evaluation of the impact on the developing countries of foreign capital flows

Liberalisation has started to capital flowing from one country to nother. It is caused by developed countries to social, economic and cultural changing of the World and started to new a era since 19. century. Developed countries have searched for new investment areas with the competitiveness of this change and the effort to reach cheap labor and raw materials in order to achieve lower cost. Developed countries, which are looking for foreign countries in order to benefit from advanced technology, management knowledge, marketing strategy and production factors of developed countries, have tried to create a suitable environment for attracting foreign capital. Instead of borrowing the capital they need for this, they have invested in areas such as tax policies, subsidies, infrastructure. In this study, the strategies applied by developing countries to attract foreign capital and the impacts of foreign capital's economies as a result of these strategies are emphasized. The aim and purpose of working in the first chapter is explained, and the second chapter. In the third and fourth chapters, the effects on emerging economies were tried to be explained with labels and graphs.