Foreign Direct Investment: Current Issues [Updated February 1, 2008]   [open pdf - 153KB]

From the Document: "In 2006, foreign investors spent $184 billion investing in U.S. businesses and real estate, the highest amount foreign investors have spent since 2000. Within the economy, foreign direct investment is sparking a mixed reaction. Although the environment for foreign investors is still friendly, some Members of Congress and some in the public argue that the events of September 11, 2001, raise new concerns about the nation's economic security that challenges the traditionally open policy the United States has had toward foreign investment, particularly foreign investment in critical industries and in sectors that are vital to homeland security. […]. In contrast to these actions, the International Trade Administration of the Department of Commerce announced on March 7, 2007, that it was creating a new initiative: Invest in America. The initiative appears to depart from the long-standing U.S. policy of official neutrality toward inward and outward direct investment by having the federal government actively internationally promoting the United States as a foreign direct investment destination. It also will serve as the primary U.S. government mechanism responsible for managing inward investment. This report presents an overview of current issues related to foreign direct investment in the economy and the development of U.S. policy toward inward and outward direct investment. This report also assesses the role of foreign direct investment in the economy and the costs and benefits of direct investment. This report will be updated as events warrant."

Report Number:
CRS Report for Congress, RL33984
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