In: Finance
1. Go to the sources listed below and complete the following table. What can you conclude from the table? Any of the rankings surprise you? Explain your answer.
Table 1
Ranking |
Best Country for Business (1) |
Corruption Index 2017 (2) |
Index of Economic Freedom 2018 (3) |
1 |
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2 |
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3 |
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4 |
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5 |
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6 |
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7 |
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8 |
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9 |
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10 |
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Lowest |
Table 2
Countries |
Ranking of Best Countries for Business (1) |
Ranking of Corruption Index 2017 (2) |
Ranking of Index of Economic Freedom 2018 (3) |
China |
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Germany |
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India |
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Japan |
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U.K. |
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U.S. |
Table 3 Sovereign Ratings (4)
Countries |
Moody’s ratings |
S&P ratings |
Fitch ratings |
China |
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Germany |
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India |
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Japan |
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Russia |
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U.K. |
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U.S. |
Sources:
Best countries for business 2017:
https://www.forbes.com/best-countries-for-business/list/
Corruption Index 2017:
https://www.transparency.org/news/feature/corruption_perceptions_index_2017
Index of Economic Freedom 2018:
https://www.heritage.org/index/ranking
Credit Rating
https://countryeconomy.com/ratings
Ranking | Best Country for Business (1) | Corruption Index 2017 (2) | Index of Economic Freedom 2018 (3) |
1 | UK | New Zealand | Hongkong |
2 | New Zealand | Denmark | Singapore |
3 | Netherlands | Finland | New Zealand |
4 | Sweden | Norway | Switzerland |
5 | Canada | Switzerland | Australia |
6 | Hongkong | Singapore | Ireland |
7 | Denmark | Sweden | Estonia |
8 | Ireland | Canada | UK |
9 | Singapore | Luxembourg | Canada |
10 | Switzerland | Netherlands | UAE |
Lowest | Chad (153) | Somalia | North korea |
Countries | Ranking of Best Countries for Business (1) | Ranking of Corruption Index 2017 (2) | Ranking of Index of Economic Freedom 2018 (3) |
China | 66 | 77 | 110 |
Germany | 13 | 12 | 25 |
India | 62 | 81 | 130 |
Japan | 21 | 20 | 30 |
U.K. | 1 | 8 | 8 |
U.S. | 12 | 16 | 18 |
Table 3 Sovereign Ratings (4) | |||
Countries | Moody’s ratings | S&P ratings | Fitch ratings |
China | A1 | A+ | A+ |
Germany | Aaa | AAA | AAA |
India | Baa2 | BBB- | BBB |
Japan | A1 | A+ | A+ |
Russia | Ba1 | BBB- | BBB- |
U.K. | Aa2 | AA | AA |
U.S. | Aaa | AA+ | AAA |
There is a surprise that china with so much corruption ranked 77th and still among the worlds largest economy . Their ranking in business is very low compare to US and UK still maintaing the A rating. And their business has grown in leaps and bounds with so much challenges.
Same story is with India, ranking is low and ratings also but still they are one of the fastest growing economies in the world and further, their GDP is in top 3 if we look at PPP index. So, these are two amazing and surprising story that with so many challenges, they are still growing fast. Common thing is bith are heavy populated, which make them attractive markets and cheap labor.