Venture Capital's Impact on Economic Development: A CFA Level 1 Exam Analysis

Venture Capital's Impact on Economic Development

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Venture capital has proved to impact economic development in the following ways:

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A. B. C. D. E. F.

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Several researchers have concluded that venture capital investments are critical to the economy in terms of capital formation, local development, economic expansion, technological growth and innovation, employment growth, and competitive adaptation in global markets.

Besides adding jobs, venture capital investments have resulted in development of medical diagnostic and treatment equipment, and scientific improvements.

Venture capital investments have developed entrepreneurs and have contributed to innovation and competitiveness.