Which of the Following Best Describes the Impact of SEZs

question 221

Multiple Choice

Which of the following best describes the impact of SEZs and ETDZs in China?

• A) While they held significant promise, they have not been successful at attracting foreign investment.
• B) They resulted in a significant out-migration of people from those cities into rural areas.
• C) They have been successful and continue to draw investment and migration.
• D) They were a complete failure, increasing unemployment and decreasing productivity.

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Definitions:

Market Price

The rate at present for the purchase or sale of a service or asset.

Preferred Stock

A class of ownership in a corporation that has a higher claim on its assets and earnings than common stock, often with dividends that are paid out before those to common shareholders.

Bonds Outstanding

The total amount of issued bonds that are currently held by investors and not yet redeemed.

Cost of Equity

The return that investors expect for investing in a company's equity, reflecting the compensation for the risk of investing.