According to Former Federal Research Chairman Alan Greenspan, Since the Mid-1990s

question 165

Multiple Choice

According to former Federal Research Chairman Alan Greenspan, since the mid-1990s, the U.S.has entered a new phase of globalization that is characterized by decline in what economists call "home bias." What does the term "home bias" means?

• A)It refers to the preference of consumers to purchase locally made goods and services.
• B)It is the tendency of persons, though faced with comparable or superior foreign opportunities, to invest domestic savings in the home country rather than abroad.
• C)It refers to the tendency of multinational corporations to set up headquarters in the U.S.to take advantage of the country's communications infrastructure but locate production operations abroad.
• D)It refers to the government fiscal policy that grants tax credits to firms that locate their business in the U.S.rather than abroad.

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Definitions:

Entire Stock

The complete inventory of goods and products that a business has available for sale at any given time.

Wrongful Acts

Wrongful acts refer to actions or behaviors that are illegal or morally incorrect, often leading to harm or injury and potentially resulting in legal liability.

Principal

The main party involved in a contract or agreement, or the head of a school.

Agent

A person or entity authorized to act on behalf of another person or entity in a particular transaction or legal situation.