While there is no comprehensive theory of FDI, many existing theories emphasize
A)imperfections in product markets.
B)imperfections in capital markets.
C)imperfections in labor markets.
D)all of the above

Question

Quizplus · Accepted Answer

Many existing theories of FDI emphasize imperfections in product markets, capital markets, and labor markets. These imperfections can include factors such as trade barriers, market power, informational asymmetries, and regulatory differences. Overall, the combination of these factors may create incentives for firms to invest in foreign countries in order to overcome these imperfections and gain greater access to markets, resources, or technologies.

While There Is No Comprehensive Theory of FDI, Many Existing