Which of the Following Statements Is True About International Equity

question 87

Multiple Choice

Which of the following statements is true about international equity (stock) markets?

• A) Japanese households are large investors in common stock
• B) commercial banks are generally not involved in the international securities business
• C) some foreign investors are more risk-averse than their counterparts in Canada and prefer dividend income over less certain capital gains
• D) foreign exchanges never include the listing of Canadian firms

---

Definitions:

Tax Revenues

The income that is gained by governments through taxation.

Marginal Tax Rates

The rate of tax that applies to the next dollar of taxable income above a pre-determined threshold.

Excise Tax

A tax levied on specific goods, services, and activities, often included in the price of products like gasoline, tobacco, and alcohol.

Supply Curve

A graphical representation of the relationship between the price of a good and the quantity supplied by producers.