An Example of Foreign Direct Investment Is When an Italian

question 52

Multiple Choice

An example of foreign direct investment is when an Italian company:

• A)purchases 1 000 shares of stock issued by an American company.
• B)opens a new Italian factory.
• C)purchases shares issued in Italy.
• D)opens a new factory in Australia.

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Definitions:

Real Median Household Income

The midpoint of household income distribution after adjusting for inflation, which represents the purchasing power of a typical household.

Squeeze

A financial or economic situation where resources such as money are limited, leading to pressure on individuals or families.

Americans

Citizens of or people living in the United States of America.

Work

A physical or mental activity that accomplishes or produces something, either goods or services.