Empirical evidence shows that foreign direct investment always increases a U.S. firm's cost capital no matter where the foreign investment is made.

Question

Quizplus · Accepted Answer

Empirical evidence does not show that foreign direct investment always increases a U.S. firm's cost of capital. The impact of foreign direct investment on a firm's cost of capital can vary depending on various factors like the country of investment, industry, and specific characteristics of the company.

Empirical Evidence Shows That Foreign Direct Investment Always Increases a U.S