According to pragmatic nationalist view, FDI should be allowed so long as
A) the benefits outweigh the costs.
B) they do not aggressively court domestic firms.
C) the costs outweigh the benefits.
D) the MNE does not seek tax breaks or grants.

Question

Quizplus · Accepted Answer

The pragmatic nationalist view is that FDI has both benefits and costs. FDI can benefit a host country by bringing capital, skills, technology, and jobs, but those benefits come at a cost.
According to this view, FDI should be allowed so long as the benefits outweigh the costs. Another aspect of pragmatic nationalism is the tendency to aggressively court FDI believed to be in the national interest by, for example, offering subsidies to foreign MNEs in the form of tax breaks or grants.

According to Pragmatic Nationalist View, FDI Should Be Allowed So