Which of the following is an example of foreign portfolio investment?
A) the purchase of a U.S. mutual fund by a U.S. citizen
B) the purchase of a Japanese factory by a Korean citizen
C) the purchase of a U.S. stock by a U.S. citizen
D) the purchase of a U.S. Treasury bond by a German citizen
D
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What is the best explanation for why China and India have received so much international interest and foreign investment?
A) Their large populations B) Their geographic location C) Their control over natural resources D) Government incentives provided to foreign firms
If a monopolist is producing a rate of output at which market demand is inelastic,
a. it may or may not be maximizing its short-run profit b. reducing output would reduce both total revenue and total cost c. reducing output would increase both total revenue and total cost d. reducing output would increase total revenue and reduce total cost e. increasing output will increase its short-run economic profit