The Michigan Daily-Wednesday; June 14, 1978-Page 11 Foreigners investing WASHINGTON (AP) - Buy an ice Tobacco Co. of the United Kingdom, cream cone at a Baskin-Robbins Ice which owns Hardee's, a hamburger Cream Store, and the cash register restaurant chain. rings at A. Lyons Co. in London. Some are individuals, like Sir James Buy a pair of Foster Grant sunglasses Goldsmith of the United Kingdom, who and the Hoechst Co. of West Germany owns Grand Union supermarkets, and has made another sale. South Korea's Rev. Sun Myung Moon, STAY AT THE Atlanta Hilton Hotel, who owns land and buildings in various and the Kuwait Investment Co., is your parts of the country. host. The Commerce Department Pick a Magnavox television, and you estimates that foreigners own $34 buy from the Philips family of the Netherlands, ' i r - Foreigners are investing more 'The biggest forein inzestors money in America, in all kinds of en- Netherlands, the United Kingdo terprises. Middle Eastern (ouintries, the n BUT THERE is little danger they will buy up the country, government of- uorld, whose re(ent spending he ficials say. In fact, Americans have tion.' four dollars invested overseas for every one dollar foreigners have invested billion, or about two per cent, of direct here. investments in this country. By this The biggest foreign investors are measure, a direct investment is com- from such countries as the Netherlan- plete or partial control of a business. ds, the United Kingdom and Canada, That compares with $18 billion five rather than the Middle Eastern coun- years ago. tries, the nouveau riche of the invest- MOST POPULAR buys are banking, ment world, whose recent spending has insurance, hotels, office buildings and attracted considerable attention., shopping centers, officials say. In Florida, meanwhile, the First "By no means do they dominate any National Bank of Hialeah and the Cen- industry in the United States," said tral National Bank of Miami were Milton Berger, director of the Office of recently purchased by Latin American Foreign Investment. investors. And a number of real estate "They have never owned more than brokers say there is a growing interest about six per cent to 10 per cent of in Florida land among Latin domestic production and sales in any Americans. field." MOST FOREIGN investors in BERGER SAID in an interview he America are large companies, such as has no supporting figures "but I would the Nestle Co. of Switzerland, which say the level of activity has increased owns Libby McNeil-& Libby canned since 1976. It's increasing, but not products, and the British American dramatically." more and more Arabs have invested about $200 million in this country, primarily in banks and real estate, he said. Ghaith Pharaoh of Saudi Arabia bought some of Bert Lance's stock in the National Bank of Georgia, and is trying to increase his holding. IN RECENT months, Arabs and Iranians have moved into the Beverly Hills area near Los Angeles, buying rambling estates, apartment houses, are fron such countries as the n and Canada, rather than tie oileau riche of the inrestment as attracted considerable atten- shopping centers and some of the most expensive commercial property on ex- clusive Rodeo Drive. "We can't find properties for them fast enough," said real estate agent Marty Trugman. Foreign investors also are buying U.S. stocks and bonds and, par- ticularly, government securities. The Treasury says Western Europeans owned $38.5 billion of U.S. stocks at the end of 1976; Canadians had $7.3 billion and Japanese $900 million. There is no figure for the Middle East. BY COMPARISON, the total value of stocks and bonds on the New York Stock Exchange that year was $1.2 trillion. "We know there were big foreign purchases last April when the stock market boomed, but we don't know the volume," said Gary Smeal, a trade of- ficial at the Treasury. "Western Europe, OPEC and everybody jumped in, but it was only a contributor, not a cause of the rise." Last year foreigners tripled their new purchases of Treasury bonds and notes to $22.8 billion, and continued buying into 1978. IS THIS TREND good for America? Berger says it's hard to say. "In some cases, they may buy outm existing firm but may add something, like new technology," he said. "Usually they create jobs, add to competition and provide tax revenues." For example, he said, Volkswagen may have aided the U.S. economy by buildinga plant here rather than selling Americans cars built in West Germany. FOREIGNERS often are surprised to find few restrictions on U.S. purchases, he said. The limits involve national security industries, containerized ship- ping, mining, communications and aviation. Berger cited three reasons for in- creased investment in the U.S.: " Labor costs are rising faster in some other countries than here. " The declining dollar has made such investing more profitable. " Fear of government interference elsewhere makes it attractive. He said the 1974 oil price increases had little effect on the upward trend, although that was when Congress became concerned about it. No one knows how much U.S. land, particularly farm land, foreigners own. Some congressmen worry that foreigners will dictate what crops will be grown, to benefit their own coun- tries. Links between cancer, diet to be probed further WASHINGTON (AP) - Research on IN HIS REVIEW of research, Upto links between diet and cancer will ex- said scientists have been unable t pand, the National Cancer Institute agree on exactly what foods cause ca (NCI) said yesterday after being cer. "One of the factors that has bee criticized as devoting too few of its strongly implicated is obesity, which resources to tbe subject. though to contribute to the high in level wuld poident utrct nresearche cidence of cancers of the colon, breas will increase," Dr. Arthur Upton, NCI ovary, prostate and enoumetriumlinin director, said under questioning at the of the uterus, he said. Senate hearing. He said studies have found tha THE PREVIOUS day, leading cancer vitamin C and vitamin E may hel researchers said the institute has protect d person from getting cancer avoided investigating ways of preven- In addition, low consumption of dietar ting cancer through good nutrition and fiber is associated with cancer of th instead has devoted itself to an unsuc- colon, Upton said. cessful search for a cancer cure. Possible causes of cancer includ Upton read a statement reviewing drinking water contaminants research findings in the area. When he aflatoxins natural contaminants finished, Sen. George McGovern -(D- peanuts and grains, nitrosamines for S.D.), chairman of the Senate nutrition med in the stomach from nitrates an subcommittee, asked, "How can you amies, food additives and alcohol, h assert that diet has a close relationship said. to cancer formation and then submit a "Alcohol ingestion by itself does no budget that calls for only a little more appear to be carcinogenic," he said than one per cent of the budget for But he said excessive alcohol intak nutrition research?" coupled with such other factors a The NCI director responded, "I have smoking may cause cancer. asked that question myself." DURING THE subsequent question and answer session, Upton said he ex- S pects funding by the cancer institute for nutrition research to increase. to 6 PM Daily He said only about one per cent of the grant applications to NCI are for 504 per game nutrition research. "I. think that is changing," he added. 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