Asked by manar Shammaa on May 24, 2024

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U.S. labor's biggest fear of foreign direct investment is:

A) Loss of capital investment in the U.S.
B) Increased national debt owed to foreign countries.
C) Loss of jobs and downward pressure on wages.
D) Inflation.

Foreign Direct Investment

Investment by a company or individual in one country in business interests in another country, in the form of either establishing business operations or acquiring business assets.

U.S. Labor

Refers to the workforce and labor movement within the United States, including its history, policies, and debates concerning workers' rights.

Downward Pressure

Forces or factors that lead to a decrease in prices, wages, or other economic indicators.

  • Recognize the advantages and critiques of foreign direct investment and international investment.
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IJ
Inaara JiwaniMay 25, 2024
Final Answer :
C
Explanation :
U.S. labor's biggest fear of foreign direct investment is the loss of jobs and downward pressure on wages. When companies invest in foreign countries, they often move jobs overseas where labor costs are cheaper. This can lead to job losses and wage stagnation for U.S. workers.