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

While foreign direct investment might impact the standard of living in various ways, it is not directly a cost to the home country. In fact, FDI can lead to increased returns on investment, which may enhance the standard of living domestically, depending on how profits are utilized.

Loss of sovereignty is a concern primarily for host countries rather than home countries. Home countries retain their governance and control over domestic policies despite investing abroad. Thus, this choice does not accurately reflect a cost incurred by the home country.

Job loss may occur if companies relocate operations abroad; however, it is not universally applicable and can vary by industry and specific circumstances. Furthermore, FDI may also create new jobs in the home country through increased capital and business growth, complicating the notion of direct job loss as a cost.

Cultural disintegration is more relevant to host countries where foreign businesses may influence local customs and practices. Home countries typically maintain their cultural integrity, so this is not a recognized cost associated with FDI from their perspective.