Foreign direct investment

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The Organisation for Economic Co-operation and Development (OECD) defines foreign direct investment as:

"a category of cross-border investment made by a resident in one economy (the direct investor) with the objective of establishing a lasting interest in an enterprise (the direct investment enterprise) that is resident in an economy other than that of the direct investor."

US protectionism - how far will Trump go?
"The US enjoys the highest foreign direct investment in the world because, thanks to its strong economy, it has a risk/return profile that attracts foreign investors.
US households benefit from this through higher consumption by way of trade. The US does not lose out in terms of jobs or economic growth by running a trade deficit."
The Treasurer magazine, June 2018, p13 - Kallum Pickering, senior UK economist at Berenberg Bank.

See also