Abstract

Economic and human development have long been the focus of international development
practice and study. While the more traditional approaches of international development such as
aid still play an important role, recent frontiers of development research have argued economic
growth as a fundamental mechanism for poverty reduction and human development.

The direct and indirect effects of economic growth (of which foreign direct investment (FDI) serves as one
of the major engines) may lift masses of people from poverty; just as China has achieved in the
past three decades. The managerial and technological knowledge transferred or spilled-over to
the local community may increase the capability of the local management and workforce, and
enhance economic and human development in various aspects