In the United States,domestic employees working for subsidiaries of foreign firms receive on average a 32 percent higher salary than do their counterparts employed by domestic firms. This example illustrates which positive impact of foreign direct investment?

Question

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Foreign direct investment can lead to increased employment and higher pay for domestic workers. This is evident in the example provided where domestic employees working for subsidiaries of foreign firms receive a higher salary compared to their counterparts employed by domestic firms. This is because foreign firms often bring new technologies and business practices with them, which can create new job opportunities and increase productivity, leading to higher wages for workers.

In the United States,domestic Employees Working for Subsidiaries of Foreign