Foreign Direct Investment Welcome! You are encouraged to register with the site and login (for free). When you register, you support the site and your question history is saved.For a country to obtain the benefits of direct investment by foreign multinationals in its industries, unrestricted incentives to foreign multinationals and a high degree of support to local businesses are both necessary. While the government of Kokua is prepared to offer incentives to foreign multinationals, the population of the country would most likely demand that the national legislature place restrictions on these incentives by the next voting term. The claims above, if true, most strongly support which of the following conclusions? If Kokua offers unrestricted incentives to foreign multinationals, public discord will make it impossible to provide a high degree of support to local businesses. As long as support to local businesses in Kokua is generous, direct investment by foreign multinationals is likely to succeed. Incentives to foreign multinationals are sufficient to generate direct investment by those multinationals, if those incentives are unrestricted. Direct investment by foreign multinationals in Kokua is likely to fail in the long term. Overwhelming popular support is required for successful direct investment by foreign multinationals in Kokua. Review Answer