Brand new repatriation of earnings, however, should be used into consideration
Brand new repatriation of earnings, however, should be used into consideration
Balance off payments effects. Critics argue that as the very first effect out-of a keen inflow from FDI to the machine state’s equilibrium out of payments is generally confident, the fresh medium-label impression is often negative, given that MNC expands imports out-of advanced goods and services, and you can starts to repatriate winnings. The research in the previous section, and this directed to help you a more powerful complementarity between FDI and you may host country exports than simply anywhere between FDI and server nation imports, does apply here. […]