When a firm buys stocks or bonds issued in another country they are engaging in foreign direct investment.
Indicate whether the statement is true or false.
Answer: False.
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A change in the amount saved due to a change in income is represented by a
A. shift of the entire saving schedule. B. movement along the saving schedule. C. change in the marginal propensity to consume. D. change in the marginal propensity to save.
The amount of a tax paid by the buyers will be smaller the
A) more elastic the demand and the more inelastic the supply. B) more inelastic the demand and the more elastic the supply. C) more inelastic are both the supply and demand. D) more elastic are both the supply and demand.
According to the figure shown, Nike:
A. will reach an optimum outcome by acting in its own self-interest. B. has a dominant strategy to charge a high price. C. has a dominant strategy to charge a low price. D. does not have a dominant strategy.
Which of the following does not appear on the asset side of a bank's balance sheet?
A. required reserves B. checkable deposits C. loans D. excess reserves