1. 0 Introduction
Economics involves the options people make when complementing their unlimited needs and wants with a scarcity of resources. The term "economics" comes from the Greek words "oikos", this means house, and "nomos", this means manager. Therefore the term originally referred to management of family members. Today, the word has been broadened to make reference to firms and most of society. Another way of looking at economics is to consider the field as a couple of tools for studying people and communities and the options that they make. Accountants are trained to render an account of financial activity for a firm. Lawyers are trained into a certain method of thinking in order to handle issues in a legal construction.
FOREIGN DIRECT INVESTMENT- FDI is in the form of investments directly made in industry or any other fields of monetary activity of a country by international industrial properties or Multinational Companies (MNCs) with the sole objective of getting profit.
Since the investment is manufactured by companies in their private capacity, it is also called Private Foreign Capital.
Such opportunities have long-term commitments.
2) Collection INVESTMENT- It really is made by overseas financial companies called Foreign Institutional Traders (FIIs) in tradable securities.
These FFIs enter India's capital market segments to buy and sell securities with an objective of earning speculative profits.
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