1. Which of the following statements regarding the highlighted form of foreign direct investment is CORRECT?

A. Countries may welcome this form of investment

B. This form of investment is a politically sensitive issue

C. This form of investment represents about 50% of all flow of foreign direct investment

D. Developing rather than developed countries are the recipient of inflows of this form of investment

New Foreign Direct Investment in the United States in 2018 By Thomas Anderson PDF In 2018, expenditures by foreign direct investors to acquire, establish, or expand U.S. businesses totaled $296.4 billion, an increase of 8.7 percent from 2017, based on the Bureau of Economic Analysis (BEA) Annual Survey of New Foreign Direct Investment in the United States (table A and chart 1). Expenditures to acquire existing businesses constituted most of the spending. Expenditures for acquisitions were $287.3 billion, expenditures to establish new U.S. businesses were $5.3 billion, and expenditures to expand existing foreign-owned businesses were $3.8 billion. Chart 1. New Foreign Direct Investment Expenditures by Type, 1996-2018 Billions of dollars 450 400 Acquisitions Establishments Expansions 350 300 250 200 150 100 50 13 1996 97 98 99'00' a '02'03 04 05 06 07 08 09 14 15 16 17 'Expansions included in 2014-2018 only Note Survey not conducted for 2009-2013 U.S. Bureau of Economic Analysis