ASHFORD ECO 203 Week 5 DQ 1 Foreign Direct Investment

Foreign Direct Investment. Imagine you are in charge of development for a developing country and were approached by a multinational corporation interested in locating in your country.

Identify some of the benefits and some of the costs to the host country from allowing a multinational corporation to locate in a country with a developing economy. Discuss with your classmates if developmental assistance from world developmental agencies, such as the World Bank or the United Nations, would be preferable to private investment.

Reference: Chapter 17, section 17.5: Help From The Private Sector: Multinationals.

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