Protectionism is Hampering Foreign Investments
D. Marchick, Carlyle Group & M. Slaughter, Dartmouth | June 26, 2008
Foreign direct investment is slowing down worldwide due to nations' fears of losing control of what they call "critical infrastructure." ++ Markets have recently experienced FDI coming from non-traditional sources such as China and the Middle East, spurring governments to implement market-disrupting controls. ++ This is unnecessary. ++ Protectionist restrictions harm source and receiving markets alike. ++ Anything short of national security should be left to the market, in which a code of conduct monitors rather than controls FDI.
