Inter Bus Chapter 8
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When a firm invests directly in a business or venture in another country, it is called
FDI
What two reasons does the text give as to why FDI has outpaced world trade and world output
FDI has been driven by political and economic changes in developing nations. Firms want to circumvent potential future trade barriers.
Which country has consistently been the largest source of FDI since World War II?
The United States
The stock of foreign direct investment refers to the total
accumulated value of foreign-owned assets at a given point in time
In the past, most foreign direct investment has been directed at _____ nations.
developed
FDI occurs when a company invests in facilities
in a foreign country
