The purchase of less than 10 percent of the shares of ownership in a company in another country is known as
A. a hostile takeover.
B. foreign direct investment.
C. portfolio investment.
D. dead capital investment.
Answer: C
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The income and substitution effects are part of the reason why
A. the demand curve is downward-sloping. B. the supply curve is upward-sloping. C. the demand curve is upward-sloping. D. the supply curve is downward-sloping.
If a government has a budget deficit, it must
A) decrease its expenditures. B) borrow in the loanable funds market. C) decrease taxes. D) increase taxes. E) lower the real interest rate.
The purchase of VCU2 by Tomas Tiergarten, a private resident, causes the nation's:
a. M2 money multiplier to remain the same. b. M2 money supply to rise. c. M2 money multiplier to rise. d. Monetary base to rise.
The output of which of the following groups of companies is included in the calculation of Ireland's GNP:
(a) Pepsi, Kerry Group, Google. (b) Glanbia, Dunnes, Bank of Ireland. (c) Facebook, Twitter, Amazon. (d) All of the above are included.