According to the Theory of Foreign Direct Investment,firms That Expand

question 6

Multiple Choice

According to the theory of foreign direct investment,firms that expand across borders may be seeking all of the following EXCEPT:

• A)Resources
• B)Outputs
• C)Knowledge
• D)Security
• E)Markets

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Definitions:

Ability-To-Pay Principle

The principle of tax fairness by which those with greater ability to pay a tax should pay more tax.

Ability-To-Pay

A concept in taxation that taxes should be levied according to an individual or entity’s ability to shoulder the tax burden.

Lump-Sum Tax

A tax that is the same for everyone, regardless of any actions people take.

Ability-To-Pay Principle

A taxation principle suggesting that taxes should be levied according to an individual's or entity's capability to bear the tax burden.