Theory of comparative advantage suits the pattern of trade done by United States. The very evidence of the same comes from the fact that amongst total exports by USA, export of capital goods comprises 39% and industrial goods comprises of 28% of the total export. In comparison, it imports the same good, that is, capital goods and industrial goods in percentages which make up for 29% and 24% of the total import percentages respectively. Amongst FDI policies, USA exhibits a free market view policy, meaning that the MNE be used as an instrument to utilize resources across the world, Continue reading...