What are costs to home countries of foreign direct investment? Choose two

Loss of sovereignty refers to the diminished control a country may experience due to external influences, often related to globalization. However, this is more of a political or social concern rather than a direct economic cost associated with FDI. The sovereignty of a country is not inherently lost through FDI, as countries retain regulatory authority over foreign investments.

While FDI can influence the standard of living, it is not a guaranteed outcome. In many cases, FDI can lead to job creation and economic growth that may actually enhance the standard of living in the home country. Therefore, this option does not consistently represent a cost associated with foreign investments.

Job loss may occur as a result of FDI, particularly if companies relocate production abroad. However, this is not a universal outcome and highly depends on the nature of the investment and industry dynamics. Many times, FDI can lead to job creation within the home country, making this a less reliable cost.

Cultural disintegration relates to the loss of cultural identity due to foreign influence. While it can be a concern in some contexts, it is not a direct economic cost of FDI. Cultural impacts are often subjective and vary widely among different societies, making this option less applicable in the context of economic costs.