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When countries such as China emerge from communism, they often require foreign investments. Why?

User Alberto Santini
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1 Answer

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Answer: Most countries need foreign investment because they are rejoining the world economy in some cases, have not diversified what they produce, and what they do produce is nationalized.

Step-by-step explanation:

Think of Venezuela specifically. Part of the reason it is in such bad shape is because it's main source of revenue is oil, which is mainly controlled by the state. When communism collapses, there is no state to control that sole product which is where foreign investment comes in to do that instead.

User Kanso
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