Which of the Following Statements Is True About the Growth

question 28

Multiple Choice

Which of the following statements is true about the growth of foreign direct investment in the world economy over the last few decades?

• A) FDI has experienced a slower growth than world output.
• B) FDI has accelerated faster than world trade growth.
• C) FDI has remained the same over the past few decades.
• D) FDI has dropped dramatically.

---

Definitions:

Complement

A good or service that is used together with another, where an increase in demand for one leads to an increase in demand for the other.

Substitute

A product or service that can be used in place of another to satisfy similar needs or desires.

Equilibrium

A state in which market supply and demand balance each other, resulting in stable prices and quantities.

Demand Decreases

A situation where the quantity of a product or service sought by buyers is less than it was previously, often leading to lower prices.