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The Rule of Law measures the extent a country's citizens abide by its rules. Therefore, a country with a high rule of law can attract businesses and foreign direct investment. Carrie Lennard, Government, Labour and Education Manager at Euromonitor, explains how rule of law is calculated and discusses countries with the highest and lowest examples. Download as an MP3
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A country’s corruption level directly affects potential investments by businesses, states Carrie Lennard, Government, Labour, and Education Manager at Euromonitor. The eurozone crisis has increased corruption perception in some of the member countries, most notably Greece and Italy. Both countries have high public debt, which has exposed a prevalence of tax evasion. Since this perceived corruption will hamper investments in these countries, governments will have to take action against corruption before growth can take place, according to Lennard. Download as an Mp3
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