2021 BE-11 Supporting Statement B_8-9-2021

SUPPORTING STATEMENT
BE-11, Annual Survey of U.S. Direct Investment Abroad
OMB Control Number 0608-0053
B. Collections of Information Employing Statistical Methods
1. Describe (including a numerical estimate) the potential respondent universe and any
sampling or other respondent selection method to be used. Data on the number of entities
(e.g. establishments, State and local governmental units, households, or persons) in the
universe and the corresponding sample are to be provided in tabular form. The tabulation
must also include expected response rates for the collection as a whole. If the collection has
been conducted before, provide the actual response rate achieved.
The potential respondent universe for the BE-11 annual survey is derived from the 2019
Benchmark Survey of U.S. Direct Investment Abroad, BE-10, and consists of all U.S. persons (in
the broad legal sense, including companies) that own 10 percent or more of the voting securities
of an incorporated foreign business enterprise, or an equivalent interest in an unincorporated
foreign business enterprise.
Sample selection for the U.S. parents and foreign affiliates reported in the annual survey is based
on the size and degree of U.S. ownership of the foreign affiliates. The size thresholds are stated
in terms of total assets, sales or gross operating revenues, and net income after income taxes,
whether positive or negative. If any of the three items exceeds the size threshold, then a report
must be filed. The BE-11 annual survey has multiple survey forms. Estimates of the sample size
and response rates below are based on recent BE-11 surveys. These are presented in terms of
assets, representing the proportion of total assets for each of the populations that are accounted
for by reporting entities.

BE-11 Universe, Sample, and Response Rate

Number of entities

Percent of
entities

Percent of
assets

Universe:
U.S. parents
Foreign affiliates

18,300
88,000

100%
100%

100%
100%

Sample:
BE-11A (U.S. parents)
BE-11B/C/D (foreign affiliates):
BE-11B filers
BE-11C filers
BE-11D filers

3,500
26,000
24,000
1,900
100

19%
30%
27%
2%
~0%

86%
88%
-------

Nonsample:
U.S. parents
Foreign affiliates

14,800
62,000

81%
70%

14%
12%

-----

-----

99%
96%

Expected response rate:
BE-11A
BE-11B/C/D

2. Describe the procedures for the collection, including: the statistical methodology for
stratification and sample selection; the estimation procedure; the degree of accuracy
needed for the purpose described in the justification; any unusual problems requiring
specialized sampling procedures; and any use of periodic (less frequent than annual) data
collection cycles to reduce burden.
In this information collection, more detailed data are collected for larger U.S. parents and
foreign affiliates than for smaller ones. BEA estimates data for the smaller U.S. parents and
foreign affiliates using statistical methods so that the level of detail BEA records is the same
regardless of firm size. In general, the estimation will be accomplished by prorating data
reported on all forms, such as total assets, among subcomponents that are not reported by
smaller filers, using the distribution observed in the next higher size class of U.S. reporters or
foreign affiliates.
Estimates for the nonsample portion of the universe and for missing reports will be derived by
extrapolating forward their reported data from earlier years based on the year-to-year movement
in the data reported by other companies. Thus, the estimates will cover the universe of U.S.
parents and foreign affiliates. For additional information on BEA’s estimation methods please
see the “Methodology of the 2014 Benchmark Survey of U.S. Direct Investment Abroad” and the
“Introduction, general notes, and footnotes to the tables of the 2017 Annual Survey of U.S.
Direct Investment Abroad” available on BEA’s web site.

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3. Describe the methods used to maximize response rates and to deal with nonresponse.
The accuracy and reliability of the information collected must be shown to be adequate for
the intended uses. For collections based on sampling, a special justification must be
provided if they will not yield "reliable" data that can be generalized to the universe
studied.
Several steps will be taken to maximize response rates. In March of each year all companies will
receive notification by mail of their obligation to file the BE-11 survey and a list of foreign
affiliates for which data are required. BEA encourages respondents to file electronically but will
also post PDF forms online that can be downloaded and filed by mail or fax. Any person
specifically contacted by BEA must respond by filing either a completed survey or a Claim for
Exemption. BEA has dedicated staff available to answer respondent questions via email or
phone. Nonrespondents will be sent follow-up notices and contacted by survey staff to solicit a
response; and in the event of continued nonresponse, will be referred to the Office of the General
Counsel for further action, including possible referral to the Justice Department.
The response rates described in B.1., together with the estimation procedures described in B.2.,
provide information of sufficient accuracy and reliability for the intended purpose.
4. Describe any tests of procedures or methods to be undertaken. Tests are encouraged as
effective means to refine collections, but if ten or more test respondents are involved OMB
must give prior approval.
No tests were conducted (aside from giving respondents the opportunity to comment on
proposed changes, as described in A.8., above).
5. Provide the name and telephone number of individuals consulted on the statistical
aspects of the design, and the name of the agency unit, contractor(s), grantee(s), or other
person(s) who will actually collect and/or analyze the information for the agency.
The survey is designed and conducted within BEA by the Multinational Operations Branch
(MOB) of the Direct Investment Division (DID). For further information, contact Ricardo Limes,
Chief, MOB, via email at [email protected] or by phone at 301-278-9659. The survey
proposal was reviewed and approved by BEA’s Source Data Improvement and Evaluation
Program (SDIEP). The SDIEP coordinator is Tiffany Burrell, (301) 278-9618.

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