Direct effects of FDI on employment in the host country arise when a foreign MNE:
A)brings in managers trained in the latest management techniques from the home country.
B)creates jobs because of increased local spending by employees of the MNE.
C)employs a number of host country citizens.
D)causes local suppliers to hire more people.

Question

Quizplus · Accepted Answer

The effects of FDI on employment are both direct and indirect.Direct effects arise when a foreign MNE employs a number of host-country citizens.

Direct Effects of FDI on Employment in the Host Country