Impacts of public and/or private investments on the capital stock in Latin America

Abstract

The placement of capital in an economic activity or shares within an organization represented by third parties in order to achieve profitability in the medium or long term, is called investment; however, investment is not always related to the internal economic activities of an organization, but also to the way in which it rewards society with a social development contribution in a collective manner, in the form of individual development of its internal personnel through constant preparation that leads to their loyalty or of its external context within the environment in which it operates. The objective of this research is to analyze the impact of public and/or private investments on social capital in Latin America, using a descriptive research methodology based on a bibliographic review and supported by deductive, analytical and synthetic methods. The results show that 30 public and private organizations of multiple economic/industrial sectors from 7 Latin American countries, both for-profit and not-for-profit, allocate resources to promote investment in Social Capital. It was concluded that such investments represent a great impact in the construction of infrastructure and connectivity, as well as the promotion of education, social programs, generation of entrepreneurship, business networks, reduction of inequality, corruption and insecurity through social networks, cooperation networks between individuals and social groups that promote a culture of equitable development and socio-cultural benefit.