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Division
of Investment and Export
PO Box 7970
Madison, WI 53707-7970
USA
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Vol.
8 #2, November 2008
Report on Foreign Direct Investment
The U.S. Department of Commerce released a report on the U.S.
litigation environment and trends in foreign direct investment (FDI)
flows into the United States on October 29. The report, The
U.S.
Litigation Environment and Foreign Direct Investment: Supporting U.S.
Competitiveness by Reducing Legal Costs and Uncertainty, aims
to inform
policymakers of ways to enhance U.S. global competitiveness by reducing
the legal costs and uncertainty that both domestic and foreign
investors face in the United States.
The report notes that high litigation costs affect the ability of the
United States to compete and recommends sustained efforts to bring
these costs in line with those of other nations. It also emphasizes the
high quality of the U.S. legal system and the competitiveness of this
country’s open investment policy, which is based on the
principle
that foreign investors should not be treated differently from domestic
investors.
The U.S. economy benefited from $238 billion in FDI in 2007.
Last
year, foreign firms employed more than 5.3 million workers in the
United States. While the United States. has long been
recognized
as among the world’s top international investment
destinations,
the report raises concerns that foreign investors may be negatively
influenced by the comparatively high legal cost of doing business and
the unfamiliar nature of liability in the United States. To
view
the full report, visit: http://www.commerce.gov.
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