Investment climate, valuation and its relationship to economic growth
( Pp. 62-68)

More about authors
Zainullin Sergei B. kandidat ekonomicheskih nauk, docent kafedry Nacionalnoy ekonomiki
«Peoples' Friendship University of Russia» (RUDN University) Nwachukwu Chidimma Rosemary Fakultet ekonomiki, gumanitarnyh i socialnyh nauk, kafedry mezhdunarodnogo biznesa, mezhdunarodnyh otnosheniy (Magisterskaya programma)
«Peoples' Friendship University of Russia» (RUDN University) Berhane Debesay Semerelul Fakultet ekonomiki, gumanitarnyh i socialnyh nauk, kafedry mezhdunarodnogo biznesa, mezhdunarodnyh otnosheniy (Magisterskaya programma)
«Peoples' Friendship University of Russia» (RUDN University) Gundu Terese Moses Fakultet ekonomiki, gumanitarnyh i socialnyh nauk, kafedry mezhdunarodnogo biznesa, mezhdunarodnyh otnosheniy (Magisterskaya programma)
«Peoples' Friendship University of Russia» (RUDN University)
For read the full article, please, register or log in
Abstract:
Investment productivity is the main objective of every investor and in the business and financial circles, the valuation of investment has become an important topic for discussion because of its relationship to economic growth. In view of this, we embarked on this research work on the investment climate, valuation and its relationship to economic growth. As much as investment is important, it is not just enough to embark in any business without a proper evaluation of the investment for a productive future return, valuation helps an investor to make a good investment decision, it tries predicting the future realization from investment and if the investment is worth embarking on. It is necessary that the investor or business owner is guided in the best investment to make, this is because valuation compares prices and anticipate future returns from every investment made. It determines the worth of a business, assets and companies (Modelling, n.d.). It also improves companies (Wise, 2002). Businesses needs to evaluate investment because a good investment is most likely going to lead to a growth in the economy (Office of Investor Education and Advocacy, 2011). In this article, we will be pointing out why investment is necessary, why investors need to valuate businesses before investing in it. What challenges encountered in investment, what formulas to use while valuating a business, best determinants of investment values and how investment contributes to economic growth.
How to Cite:
Zainullin S.B., Nwachukwu C.R., Berhane D.S., Gundu T.M., (2021), INVESTMENT CLIMATE, VALUATION AND ITS RELATIONSHIP TO ECONOMIC GROWTH. Economic Problems and Legal Practice, 1 => 62-68.
Reference list:
AASB. (1995). Definition and Recognition of the Elements of Financial Statements. Statement of Accounting Concepts, 4. www.aasb.gov.au
Anderson, P. L., Funari, N. (2007). The Three Essential Factors in Estimating Business Value or Commercial Damages. East, 2007(January).
Aswath, D. (2002). Aswath Damodaran INVESTMENT VALUATION : Finance.
B, Y. N. (2020). The Effect of Book to Market Ratio, Profitability, and Investment on Stock Return. International Journal of Economics and Management Studies, 7(6), 102-107. https://doi.org/10.14445/23939125/ijems-v7i6p114
Burns, B. (n.d.). BUSINESS VALUATION : 5 REASONS WHY IT S IMPORTANT.
Cellulose, A. (n.d.). CHAPTER 5 What is a project World, 1-88.
Clarke, D., Ambachtsheer, J., Bernhardt, A., Jones, A. (2015). Investing in a time of climate change. 108. http://www.mercer.com/services/investments/investment-opportunities/responsible-investment/investing-in-a-time-of-climate-change-report-2015.html 5Cnwww.mercer.com/ri/climate-change-study
Damodaran, A. (1997). Chapter 12. Valuation: Principles and Practice. 1-84.
Epaphra, M., Massawe, J. (2016). Investment and Economic Growth: An Empirical Analysis for Tanzania. Turkish Economic Review, 3(4), 17. https://doi.org/10.1453/ter.v3i4.1019
European Commission. (2014). Guide to Cost-benefit Analysis of Investment Projects: Economic appraisal tool for Cohesion Policy 2014-2020. In Publications Office of the European Union (Issue December). https://doi.org/10.2776/97516
Geoffrey, S., Geoffrey, S. (2019). International microeconomics. Microeconomic Principles and Problems, 533-556. https://doi.org/10.4324/9780429399329-31
Gill, S., Kashif Khurshid, M., Mahmood, S., Ali, A. (2018). Factors Effecting Investment Decision Making Behavior: The Mediating Role of Information Searches. European Online Journal of Natural and Social Sciences, 7(4), 758-767.
Glei ner, W., Ernst, D. (2019). Business Valuation l a n u. 1(1).
G zba i, O., itak, L. (2010). An evaluation of the attributes considered by investment professionals in selecting mutual funds: The case of Turkey. International Research Journal of Finance and Economics, 36(1), 180-195.
Hsiao, P., Li, D. (2012). What is a good investment measure Investment Management and Financial Innovations, 9(1), 8-19.
IFRS Foundation. (2013). Measuring the fair value of unquoted equity instruments within the scope of IFRS 9 Financial Instruments. Ifrs, December 2(May), 1-70. http://www.ifrs.org/IFRSs/IFRS-technical-summaries/Documents/English Web Summaries 2013/IFRS 13.pdf
Jackson, D., Jackson, D. (1982). Investment and Economic Growth. Introduction to Economics: Theory and Data, 670-698. https://doi.org/10.1007/978-1-349-16933-7 15
Jagongo, A., Mutswenje, V. S. (2014). A Survey of the Factors Influencing Investment Decisions : The Case of Individual Investors at the NSE. International Journal of Humanities and Social Science, 4(4), 92-102.
Keynes, M., Keynes, M., Keynes, M. (n.d.). Concept of Marginal Efficiency of Capital.
Kolev, A., Riess, A.-D., Zachmann, G., Calthrop, E. (2012). Investment and Growth in the Time of Climate Change. papers2://publication/uuid/7864C837-D593-472E-B7DF-1243362F9BB5
Laubscher, E. R. (2001). Capital Market Theories and Pricing Models: Evaluation and Consolidation of the Available Body of Knowledge. May.
Levi, K. (2010). Transfer of Innovation Development and Approbation of Applied Courses Based on the Transfer of Teaching Innovations in Finance and Management for Further Education of Entrepreneurs and Specialists in Latvia , Lithuania and Bulgaria . Education and Culture Lifelong Learning Programme, 1-166. http://www.bcci.bg /projects/latvia/pdf/8 IAPM final.pdf
Magazine, F. (2015). T m e c : r. 56-60.
Matschke, M. J., Br sel, G., Matschke, X. (2010). Fundamentals of functional business valuation. Journal of Business Valuation and Economic Loss Analysis, 5(1). https://doi.org/10.2202/1932-9156.1097
Modelling, B. (n.d.). Valuations Business Modelling.
Ngahu, A. N. (2017). Factors Influencing Investment Decisions in Equity Stock Among Retail Investors in Kenya. http://41.89.49.13:8080/xmlui/bitstream/handle/123456789/1253/Ngahu-Factors Influencing Investment Decisions In Equity Stock Among Retail Investors In Kenya.pdf sequence 1 isAllowed y
Nissim, D., Penman, S. H. (2001). Ratio analysis and equity valuation: From research to practice. Review of Accounting Studies, 6(1), 109-154. https://doi.org/10.1023/A:1011338221623
Office of Investor Education and Advocacy. (2011). Sec-Guide-To-Savings-and-Investing. 28. https://www.sec.gov/investor/pubs/sec-guide-to-savings-and-investing.pdf
Personal, M., Archive, R. (2015). Munich Personal RePEc Archive Keynes on the Marginal Efficiency of Capital and the Great Depression. 68539.
Serra, P. (2018). Trade-related investment measures. Commentary on the Energy Charter Treaty, 1, 70-86. https://doi.org/10.4337/9781788117494.00017
Shapiro, M. D., Blanchard, O. J., Lovell, M. C. (2013). Investment , Cost of Capital Output , and. 1986(1), 111-164.
Singh, J., Yadav, P. (2016). A Study on the Factors Influencing Investors Decision in Investing in Equity Shares in Jaipur and Moradabad with Special Reference to Gender. Amity Journal of Finance, 1(1), 117-130.
TAJIKA, K.-I. (1992). Proseriate Turbellarians from the Yaeyama Islands, Southwestern Japan I. Coelogynoporidae and Nematoplanidae. Proceedings of the Japanese Society of Systematic Zoology, 46, 109-116. https://doi.org/10.19004/pjssz.46.0 109
Wilder, T. (2016). Journal Entries. The Dixie Limited, 710-752. https://doi.org/10.14325/mississippi/9781496803382.003.0014
Wiley, J. (2015). Investment Objectives. Optimal Portfolio Modeling, 29-49. https://doi.org/10.1002/9781119197515.ch3
Wise, R. M. (2002). Canada s Business Valuation Standards. Business Valuation Review, 21(4), 194-197. https://doi.org/10.5791/0882-2875-21.4.194
Keywords:
Valuation, Economic growth, Productivity, Climate, Success, Profit, Businesses, Goods, Investors.


Related Articles

8. PRIVATE LAW (CIVIL) DISCIPLINES @@CIVIL LAW, BUSINESS LAW; FAMILY LAW, INTERNATIONAL PRIVATE LAW (12.00.03) Pages: 223-228 Issue №19269
The Concept of «Income», its Content and Correlation with Concepts as «Benefit», «Everything Received Under the Transaction», «Enrichment», «Profit», «Economy» (Civil Law Aspect)
income benefit everything received under a transaction enrichment profit
Show more
14. FOREIGN SCIENTIFIC SCHOOLS Pages: 173-176 Issue №10553
THE POLICY OF THE PEOPLE'S REPUBLIC OF CHINA IN THE FIELD OF PROBLEMS RELATED TO CLIMATE CHANGE
political relations greenhouse gas emissions the atmosphere climate economic growth of China
Show more
15. FINANCE, CASH CIRCULATION AND CREDIT, ACCOUNTING, FINANCIAL AND ECONOMIC FORECASTING Pages: 196-200 Issue №4029
Valuation as a method of financial control
Financial control State property Valuation State regulation
Show more
OTHER Pages: 189-193 Issue №11394
THE FINANCIAL SITUATION IN RUSSIA: FORECASTS AND PROSPECTS
the Russian economy innovation the financial crisis the forecast of socio-economic development budget
Show more
12. WORLD AND REGIONAL ECONOMY Pages: 186-190 Issue №2928
The analysis of economic growth at the microeconomic level
analysis controlling economic growth profit the company
Show more
9. Forensics; Forensic expertise; Operational and search activities Pages: 167-169 Issue №9342
PROTECTION OF ECONOMIC GROWTH, THE SUCCESS OF ECONOMIC DEVELOPMENT
operatively-search activity operational-search activities protection of the economy economic growth
Show more
10. Financial law; Tax law; Budgetary law; Information Law; Administrative law; Administrative process Pages: 156-160 Issue №2833
BUSINESS LEGAL STATUS OF ELECTRONIC MASS-MEDIA IN UKRAINE IN THE CONTEXT OF INFORMATION AND COMMUNICATION TECHNOLOGY DEVELOPMENT
broadcaster the program service provider network edition audiovisual media services businesses
Show more
14. ECONOMICS AND NATIONAL ECONOMY MANAGEMENT, ENTREPRENEURSHIP, MARKETING, MANAGEMENT Pages: 152-156 Issue №10779
ASSESSMENT OF INSTITUTIONAL FACTORS ON ECONOMIC GROWTH: APPROACHES TO THE EVALUATION AND MODELLING
institutions institutional environment economic growth innovation institutional complementarity
Show more
14. ECONOMICS AND NATIONAL ECONOMY MANAGEMENT, ENTREPRENEURSHIP, MARKETING, MANAGEMENT Pages: 157-161 Issue №10779
Triada the links between sustainability, new quality of growth and the effectiveness of both the systemic paradigm of development of small and medium business structures
resistance economic growth the quality of growth small and medium business system paradigm
Show more
12. FINANCE, CASH CIRCULATION AND CREDIT, ACCOUNTING, FINANCIAL AND ECONOMIC FORECASTING Pages: 153-156 Issue №4641
The budgetary policy in regulation of economy of the state
economic growth fiscal policy financial resources competitive economy
Show more