Why Did Global Firms Not Reject China's Demand for Investing

question 15

Multiple Choice

Why did global firms not reject China's demand for investing in Chinese companies, so that China could move up the value chain?

• A) Because they wanted to gain access to China's sizeable market
• B) In order to take advantage of China's cheap labor force
• C) So that China would buy billions of dollars' worth of U.S. government bonds that fund the U.S. budget deficit
• D) Both options A and B are true.

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