Which of the Following Is Not a Reason Foreign Investment

question 45

Multiple Choice

Which of the following is not a reason foreign investment can be economically beneficial?

• A) It increases the GDP of the host country by giving it access to additional resources.
• B) It increases the GDP of the investing country by providing it with ways to earn higher returns on its capital.
• C) It makes the world a more efficient place by moving capital from places with low returns to places with high returns.
• D) It always leads to a higher interest rate.

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Definitions:

Logical Thought

The process of reasoning consistently and systematically in order to arrive at a conclusion.

Perception

The process by which sensations are organized into an inner representation of the world.

Menstrual Cycle

The regular natural change that occurs in the female reproductive system that makes pregnancy possible.

Estrogen

A group of hormone compounds mainly responsible for the development and regulation of female sex characteristics and reproductive functioning.