The programme has examined in detail the relations between foreign direct investment and poverty, inequality and labour intensity of growth. We are currently aiming to understand two further linkages between investment and the various patterns of growth.
- Spatial patterns of growth. Is there a systematic variation in the returns to factors of production across space (e.g. regions)? Why is this so, and if so, does such a spatial pattern affect the prospects of growth nationally? We have addressed these questions for returns to education in Uganda. Another important spatial dimension of growth relates to the role of urbanisation (in particular urban concentration) in the growth process and to what extent the growth of an economy is associated with expanding spatial inequalities including between rural and urban areas.
- Second, there is increased emphasis on the resource intensity of growth. For instance, the relationship between trade, investment and energy efficiency (and environment more widely) has an important bearing on discussions on climate change and global warming. This area of green growth is likely to become more important over time.
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