By adjusting ownership ratio in FDI projects, the host government may affect FDI inflow.

. Complex fiscal incentives imposed by the host country sometimes are inefficient or even distort location of FDI.

. Complex fiscal incentives imposed by the host country sometimes are inefficient or even distort location of FDI.

Africa may be attractive to foreign investors because it favors with abundant natural resources and imposes liberalization policies.

Joint-venture, Wholly-foreign-owned enterprise, Business Cooperation Contract, and BOT are forms of FDI classified by ownership characteristics.

FDI is seen by executives as a means of circumventing future trade barriers.

International investment speeds up the specialization and production co-operation between countries.

Eclectic paradigm is called OLI paradigm created by John Dunning.

FDI policy is an integral part of a nation’s economic development policy made out to regulate FDI activities in order to achieve the goals of economic-social development plan of the nation in a certain period.

Direct investment consists of purchases and sales of securities, such as bonds and stocks, in amounts that do not imply any direct management control or influence on the businesses issuing the securities.

Vertical FDI consists of MNE investments that duplicate facilities and operation in several countries.

Vernon’s theory is also known as the market imperfections approach.

MacDougle-Kempt theory does NOT argue that FDI contributes to raise income in host, home and the world economies.

Flying geese pattern built by Koijima explains the catching-up process of industrialization of latecomer economies.

In developing countries, about one-third of FDI is in the form of mergers and acquisitions.

International investment speeds up the specialization and production co-operation between countries.

Internalization theory is also known as market imperfection approach.

Vernon, in theory of product life cycle, assumes that technology will be standardized and commercialized so that it can be applied in other countries using less skilled labour at lower labour cost.

Globalization helps to promote the world FDI.

It is said a major part of international investment before World War I took the form of portfolio invetsment.

Host governments sometimes worry that the foreign affiliates of MNEs may have greater economic power than indigenous competitors.

Since 2007, in Vietnam FDI has been treated by Foreign investment Law, while domestic investment has been treated by Law on promoting investment in Vietnam.

FDI create jobs to the host country.

Lately some government engages in FDI through Sovereign Wealth Funds?

FDI does NOT benefit the host country's balance of payments if the foreign subsidiary creates demand for home-country exports of capital equipment, intermediate goods, or complementary products.

One of the problems of licensing is that it may result in a firm's giving away valuable technological know-how to a potential foreign competitor.

Portfolio investment consists of purchases and sales of securities, such as bonds and stocks, in amounts that do not imply any direct management control or influence on the businesses issuing the securities

Market imperfection is a motive for FDI.

The WTO has been very successful in efforts to initiate talks aimed at establishing a universal set of rules designed to promote the liberalization of FDI.

Foreign investors DONOT care about macroeconomic stability of the Host country.

All technology transferred via FDI positively impacts on the host country. Other things being equal, the greater the capital investment in an economy, the more favorable its future growth prospects are likely to be.

Host country’s investment environment comprises such factors as political instability, culture, macroeconomic improvement level, investement policies and legislation, natural conditions.

One objective of Vietnam’s FDI policy is to guarantee lawful rights and interests of foreign investors.

Linkage effects to domestic sector are moderate, except the case when:

The rise in FDI in the services sector is a result of the following EXCEPT:

Trend in settling disputes by political dialogue between countries accelerates international investment because of the following reasons EXCEPT:

Which of the following is a reason why firms prefer to acquire existing assets rather than undertake greenfield investments?

FDI stock is:

Africa is unable to attract FDI because of the following reasons EXCEPT:

Which of the following is NOT a reason why firms prefer to acquire existing assets rather than undertake greenfield investments?

Policy on ownership and investment guarantee of the host country concerns the following EXCEPT:

Process of screening FDI project and issuing investment license is a

Identify the INCORRECT statement regarding the direction of FDI.

The current global FDI trend is only one out of the what follows:

Which of the following is NOT stressed in electic paradigm:

A foreign firm crowding in foreign firms means direct effect, crowding in domestic firms means __________ to the host country. Pleaae fill in the blank with one of the following:

In a licensing arrangement, the ____________ bears the risk and cost of opening a foreign market. Fill in the blank with one of the following:

_______________________ is also known as the market imperfections theory. Fill in the blank with one of the following:

Historically, most FDI has been directed at the ____________nations of the world as firms based in advanced countries invested in____________. Fill in the blank with one of the following:

The _______________________ suggests that a firm will establish production facilities where foreign assets or resource endowments that are important to the firm are located. Fill in the blank with one of the following:

The U.S. has been an attractive destination for FDI because of the following reasons EXCEPT:

Three FDI cost concerns of host countries arise from the following EXCEPT:

If Viettel, a Vietnamese corporation, purchased a 60 percent interest in of a Laos’ company, that purchase would be an example of a (n):

FDI is undertaken to serve the home market is known as:

_____________is one of the measures of the host country to attract FDI inflow. Pleaae fill in the blank with one of the following:

John Dunning, a champion of the eclectic paradigm, argues that: