Discuss the rationales for foreign financing of investment in developing nations and explain how developing countries benefit from international capital investment.
What will be an ideal response?
The primary motivation for foreign investment in developing nations is the potential for high rates of return on large amounts of untapped resources. Developing countries benefit from international capital investment because they do not have the internal funds to be able to support projects that will lead to economic growth.
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If the quantity of the variable on the y-axis increases by 10 when the quantity of the variable on the x-axis decreases by 2, then the slope of the curve equals
A) 10. B) -10. C) 2. D) -5. E) None of the above answers is correct.
Explain the factors that account for the large increase in market share experienced by mutual funds since 1980
What will be an ideal response?
A consumer values a car at $30,000 and a producer values the same car at $20,000 . If the transaction is completed at $24,000 . the transaction will generate:
a. No surplus b. $4,000 worth of seller surplus and unknown amount of buyer surplus c. $6,000 worth of buyer surplus and $4,000 of seller surplus d. $6,000 worth of buyer surplus and unknown amount of seller surplus
The nominal interest rate is the sum of the
a. real interest rate and the historic rate of inflation. b. real interest rate and the expected rate of inflation. c. historic rate of inflation and the expected rate of inflation. d. expected rate of inflation and the rate of price level increase.