普格尔《国际贸易（第17版）》 英文题库Pugel17e_Chapter15_TB_AnswerKey.docxVIP

PAGE 23 Copyright 2020 ? McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. International Economics, 17e (Pugel) Chapter 15 Multinationals and Migration: International Factor Movements 1) Which of the following is an example of foreign direct investment? A) Ford motor company puts $10 million from its pension fund into a mutual fund containing shares of foreign companies. B) Dr. Gareau, a French biologist, buys $5,000 worth of shares of Toyota. C) Wells Fargo Bank buys $10 million worth of Bank of England T-Bills. D) Ford buys a controlling interest in Peugeot Citro?n, a French automobile company. Answer: D Difficulty: 2 Medium Topic: Foreign Direct Investment Blooms: Understand AACSB: Reflective Thinking Accessibility: Keyboard Navigation 2) Foreign direct investment (FDI) refers to A) the flow of funding provided by an investor or lender to establish or acquire a foreign company or to expand or finance an existing foreign company that the investor owns and controls. B) the hot money that an investor needs to get registered in a foreign stock exchange to make investments and have the liberty to sell stocks purchased earlier. C) a method of funding business adopted by a foreign investor by participating directly in the secondary markets of a country, through investments in the countrys stocks or bonds. D) the passive holding of securities such as foreign stocks, bonds, or other financial assets, none of which entails active management or control of the securities issued by the investor. Answer: A Difficulty: 1 Easy Topic: Foreign Direct Investment Blooms: Remember AACSB: Reflective Thinking Accessibility: Keyboard Navigation 3) A firm that owns and controls operations in more than one country is a(n) A) franchise. B) MNE. C) monopolist. D) cross-border business alliance. Answer: B Difficulty: 1 Easy Topic: Multinational Enterprises Blooms: Remember AACSB: Refl