All of the following are sources of funding for capital goods in developing countries EXCEPT
A. portfolio investment.
B. loans from banks.
C. taxation.
D. foreign direct investment.
Answer: C
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When the interest rate on newly issued bonds increases, the price of existing bonds:
A. decreases. B. may either increase or decrease. C. increases only if the coupon rate is below the new rate. D. increases.
Airlines are __________ than they were before deregulation
a. more dangerous b. more concentrated c. higher priced d. flying fewer miles e. much more profitable
Since the marginal product of labor equals the change in the quantity of output divided by the change in the quantity of labor, it stands to reason that:
a. a firm would never operate in the range where marginal product is negative. b. a firm would never operate in the range where marginal product is decreasing. c. marginal product will continually increase as the firm produces more. d. there is no predictable relationship between marginal revenue and marginal cost.
The mistake of inferring causality from two events happening one after the other is called
A. the fallacy of co-dependence. B. the fallacy of composition. C. the post hoc, ergo propter hoc fallacy. D. Ockham's razor.