In recent decades, Americans have increased their purchase of stocks of foreign-based companies. The Americans who have bought these stocks were engaged in

A) foreign portfolio investment.
B) indirect domestic investment.
C) foreign direct investment.
D) foreign indirect investment.

Question

Yasmeen Nofal · Accepted Answer

Final Answer : A, Explanation :  When Americans purchase stocks of foreign-based companies, they are engaging in foreign portfolio investment. This involves holding financial assets from a foreign country, such as stocks or bonds, but does not entail direct control over the companies in which they invest.

In recent decades, Americans have increased their purchase of stocks of foreign-based companies. The Americans who have bought these stocks were engaged in

A) foreign portfolio investment.
B) indirect domestic investment.
C) foreign direct investment.
D) foreign indirect investment.

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Learning Objectives

Related questions

In recent decades, Americans have increased their purchase of stocks of foreign-based companies. The Americans who have bought these stocks were engaged inA) foreign portfolio investment.B) indirect domestic investment.C) foreign direct investment.D) foreign indirect investment.

Definitions

Learning Objectives

Learning Objectives

Related questions

In recent decades, Americans have increased their purchase of stocks of foreign-based companies. The Americans who have bought these stocks were engaged in

A) foreign portfolio investment.
B) indirect domestic investment.
C) foreign direct investment.
D) foreign indirect investment.