Record levels of American outward foreign direct investment from 2000 to 2009, totaling more than $2 trillion, caused U.S. exports to decline during this time period.

Question

Quizplus · Accepted Answer

Outward foreign direct investment involves investing in companies outside of the home country, and is not directly related to exports. While it may have some impact on trade flows, other factors such as exchange rates, global economic conditions, and trade policies are likely to be more significant drivers of export levels.

Record Levels of American Outward Foreign Direct Investment from 2000