This book takes a unique approach to analysing foreign capital flows. Using the neighbourhood model, it analyzes foreign capital inflows from the perspective of both the source and destination countries. Focusing on China, India and the Caribbean, it explores the direct and spillover effects of foreign capital on the destination countries' economy.

ARINDAM BANIK earned his PhD at the Delhi School of Economics, University of Delhi, India. He teaches International Finance, Development Economics and Macroeconomics and also taught at the Department of Economics, University of West Indies, Barbados during the period 2001-2005 (June) as a visiting Faculty. His current research includes nature and impact of global finance, international finance and development economics. PRADIP K. BHAUMIK completed his degree in Mechanical Engineering from the IIT Delhi and his doctoral programme from the IIM, Ahmedabad, India. A trained industrial engineer from the National Productivity Council, New Delhi, he started his career as a consultant-cum-trainer with the Council and has been teaching at the International Management Institute, New Delhi for over twenty years.