Roll over each item on the left to read its description. Determine whether the scenario represents a benefit or cost to the home or host country, and then drag it to the appropriate place on the chart. Transfer of new technology HOST-COUNTRY BENEFIT HOST-COUNTRY COST Substitute for imports Inflows of foreign earnings Loss of economic independence Host country limits profit expatriateon Outflow of earnings from a foreign HOME-COUNTRY BENEFIT HOME-COUNTRY COST subsidiary Loss of local entrepreneurship Increase in direct and indirect employment Skills that can be leveraged internationally. Loss of jobs