Multiple Choice
A U.S.firm buys bonds issued by a technology center in India.This purchase is an example of U.S.
A) foreign portfolio investment.By itself it is an increase in U.S.holdings of foreign bonds and increases U.S.net capital outflow.
B) foreign portfolio investment.By itself it is an increase in U.S.holdings of foreign bonds and decreases U.S.net capital outflow.
C) foreign direct investment.By itself it is an increase in U.S.holdings of foreign bonds and increases U.S.net capital outflow.
D) foreign direct investment.By itself it is an increase in U.S.holdings of foreign bonds and decreases U.S.net capital outflow.
Correct Answer:
Verified
Correct Answer:
Verified
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