1. + Chinese Investment in Africa Danielle A. Daley Hermila Yifter

2. + Question I What are the economic affects on African nations in terms of GDP (per) capita due Chinese investment?

3. + Question II Why is China investing in Africa (motives)?

4. + Hypothesis From limited research, we have come to the conclusion that there is a positive correlation between growth in GDP in Africa and increase in Chinese investment

5. + Motives and Factors To seek lower cost for their operations and productions To seek foreign markets To seek resources To seek strategic assets To diversify Type of government

6. + African Countries Sudan Angola Nigeria Ethiopia Zambia South Africa Algeria

7. + GDP Angola Ethiopia

8. + GDP SudanZambia

9. + Types of Investment http://www.heritage.org/research/projects/china-global- investment-tracker-interactive-map http://www.heritage.org/research/projects/china-global- investment-tracker-interactive-map

10. + Selection Problem Did China start to invest in these specific countries, because they knew there was potential profit? Did Chinese investment cause the GDP to increase?

11. + Appeal of Chinese Investment “ In contrast to western financial institutions, China employs a no strings attached method of investment in a resources- for – infrastructure model.” – Laufman, Adam Chinese Investment in Africa (2005)

12. + Take Away Points Chinese Investment in China does affect African nation’s GDP Compare GDP of Africa and FDI of China Main motives of China in African nations are self – interested in natural resources and strategic assets Our research questions does have mutual causation, but we are focusing does Chinese investment cause growth in GDP