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How Does Increased Competition Through FDI in the Form of Greenfield

Question 140

Multiple Choice

How does increased competition through FDI in the form of greenfield investments impact the host country?


A) It drives down prices and increases the economic welfare of consumers.
B) It raises retrenchments and unemployment levels.
C) It causes firms to fight for scarce capital investments.
D) It leads to a monopolistic market and unfair pricing.

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