Solved

In Which Way Can the Source Country's Balance of Payments

Question 39

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:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions