A. the construction of a new auto assembly plant overseas
B. the acquisition of an existing steel mill overseas
C. the purchase of bonds or stock issued by a textile company overseas
D. the creation of a wholly owned business firm overseas
Related Mcqs:
- Assume identical interest rates on comparable securities in the United States and foreign countries. Suppose investors anticipate that in the future the U.S dollar will depreciate against foreign currencies. investment funds would tend to ?
A. flow from the United States to foreign countries
B. flow from foreign countries to the United States
C. remain totally in foreign countries
D. remain totally in the United States - Goals are achieved through ____ such a monetary fiscal, exchange rate tariff tax subsidy, business incentive foreign investment and foreign aid?
A. indicative plan
B. central bank policies
C. central planning
D. instrument variables - What is called that bank which regularly accepts foreign currency-denominated deposits and makes foreign currency-denominated deposits and makes foreign currency loans ?
A. Eurobank
B. Foreign bank
C. International Bank
D. Multinational Bank - If a government uses barriers to foreign products such as biases against a foreign company’s bids or product standards that go against a foreign company’s product features the government is using ?
A. Protectionism
B. exchange controls
C. exchange facilitators
D. nontariff trade barriers - Which of the following is an example of foreign portfolio investment ?
A. Toyota builds a new plant in the north of England
B. EDF of France buys shares in Scottish & Southern Energy of the UK, and Scottish & Southern Energy uses the Proceeds to build a new hydro-electric power station in Scotland
C. Deutsche Bank of Germany buys some new software from UK Supplier
D. JCB builds a new plant near Manchester - Suppose, due to political instability, Russians suddenly choose to invest in UK assets as opposed to Russian assets Which of the following statements is true regarding UK net foreign investment ?
A. UK net foreign investment is unchanged because only UK residents can after UK net foreign investment
B. UK net foreign investment rises
C. UK net foreign investment falls
D. None of the above - How is termed the balance of investment and return; in which investment and return are exactly equal ?
A. Break even
B. Breakeven point
C. Both of them
D. None of them - The difference between goes investment and net investment is ?
A. Depreciation
B. Acceleration
C. Declaration
D. Capital investment - The accelerator theory of investment says that induced investment is determined by ?
A. the level of national income
B. the level of aggregate demand
C. the rate of change of national income
D. expectations - The difference between gross investment and net investment is ?
A. depreciation of the existing capital stock
B. productive investment
C. dwellings
D. inventories
