____ Is Not a Disadvantage of Direct Foreign Investment

question 28

Multiple Choice

____ is not a disadvantage of direct foreign investment.

• A) The expense of establishing a foreign subsidiary
• B) The uncertainty of inflation and exchange rate movements
• C) Political risk
• D) All of the above are disadvantages of direct foreign investment

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Definitions:

Remittances

Money sent by immigrants back to their home country, often to family members, contributing significantly to the economy of the receiving country.

Immigrants

Individuals who move to a country different from their country of origin for the purposes of settling, working, or studying.

Financial Payments

Transactions involving the transfer of money or other monetary instruments from one party to another as compensation or for acquiring goods or services.

Immigration Effects

The impact of immigration on the economy, labor markets, and demographics of a country.