Potential barriers to international investment include

Question

Quizplus · Accepted Answer

All the options mentioned are potential barriers to international investment. Limited benefit from diversification can occur if the investments are concentrated in one specific region or industry, leading to a lack of portfolio diversification benefits. Double taxation of foreign investment income can discourage investment and reduce returns. Exchange rate fluctuations can add volatility to investment returns, making them uncertain. Ethnic strife or political instability can also create uncertainty, leading to decreased investment opportunities.

Potential Barriers to International Investment Include