Multiple Choice
In which way can the source country's balance of payments benefit from an FDI made in a foreign country?
A) From cash outflow during the initial investment to finance the FDI
B) If the purpose of the foreign investment is to serve the home market from a low-cost production location
C) From the inward flow of foreign earnings
D) If FDI is a substitute for direct exports
Correct Answer:

Verified
Correct Answer:
Verified
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