The Foreign Corrupt Practices Act (FCPA) Makes It Illegal For

question 92

Multiple Choice

The Foreign Corrupt Practices Act (FCPA) makes it illegal for:

• A) countries who are not members of the EU to invest in the U.S.
• B) U.S. firms to invest overseas in businesses.
• C) foreign firms to offer nonmonetary gifts to U.S. officials.
• D) foreign firms to offer bribes to U.S. firms.
• E) U.S. firms and their representatives to offer bribes overseas.

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Definitions:

Elasticity

Elasticity refers to the measure of how much the quantity demanded or supplied of a good changes in response to a change in price.

Normal Good

A good for which demand increases as the income of consumers increases and decreases as the income of consumers decreases.

Income Elasticity

A measure of how the demand for a good or service changes in response to changes in consumer income, indicating whether a good is a luxury or a necessity.

Price Elasticity

The measure of responsiveness of the quantity demanded or supplied of a good to a change in its price.