To encourage inward FDI,it is increasingly common for governments to
A)offer tax concessions to foreign firms that invest in their countries.
B)exclude foreign companies from specific industries.
C)require that local investors own a significant proportion of the equity in a joint venture.
D)impose high custom duties on foreign firms.
E)prohibit MNEs from joining a cartel.

Question

Quizplus · Accepted Answer

Governments offer tax concessions to foreign firms that invest in their countries as a way to encourage inward FDI. This makes investing in the country more financially attractive and can increase the flow of foreign direct investment.

To Encourage Inward FDI,it Is Increasingly Common for Governments to