Foreign Outsourcing Is

question 4

Multiple Choice

Foreign outsourcing is

• A)the transfer of operations to foreign contractors.
• B)an example of foreign direct investment.
• C)the substitution of immigration for foreign direct investment.
• D)currently illegal in the U.S.
• E)an example of internalization.

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Definitions:

American System

A historical economic plan in the United States that advocated for a strong role for federal government in the economy, emphasizing protective tariffs, national bank, and infrastructure improvements.

Federal Funds

Refers to reserves that banks lend to each other overnight to maintain their reserve requirements, often influencing interest rates.

Private Funds

Financial resources raised from non-governmental sources, used for investment or other private enterprise.

Market Economy

An economic system where decisions regarding investment, production, and distribution are based on supply and demand, and prices of goods and services are determined in a free price system.