Most Developing Countries Do Not Have Access to the Technology

question 65

Multiple Choice

Most developing countries do not have access to the technology available in developed nations, but these developing nations need technology to create new jobs and stimulate the economy. Which aspect of inward FDI do these developing nations rely on to have access to needed technology?

• A) balance-of-payments effects
• B) employment effects
• C) effects on foreign exchange rate
• D) effects on competition
• E) resource-transfer effects

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Definitions:

Fiduciary Duty

An obligation to act in the best interest of another party, for example, a company's management acting in the best interests of its shareholders.

Management

The process of dealing with or controlling things or people, often within an organization or a project, including planning, organizing, leading, and controlling resources.

Subsidiary

A company that is controlled by another company, known as the parent company, through ownership of a majority of its voting stock.

Consolidation Purposes

The process of combining and presenting the financial statements of a parent company and its subsidiaries as one single entity's financial statements.