omic foundations for capitalism to flourish over the long term. By operating in such nations, executives can reassure their stakeholders (consumers, employees, and investors) that they are not abusing workers and/or the environment.
Policymakers understand that and effective regulatory system can produce economic as well as social benefits. As the political economist David Vogel has noted, stricter social and environmental standards do not make a nation poorer or richer. "But greater wealth leads to a preference for strong regulatory standards." Moreover, investments in education and worker rights may result in more productive workers and that will attract investment. Improvements in environmental quality and product safety can increase the health and productivity of a nation's workforce and also decrease business costs. That too should attract investors. Improvements in water quality may result in better fishing yields or greater
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