When Americans and Foreigners Expect the Return on ________ Deposits

question 20

Multiple Choice

When Americans and foreigners expect the return on ________ deposits to be high relative to the return on ________ deposits,there is a higher demand for dollar deposits and a correspondingly lower demand for foreign deposits.

• A) dollar; dollar
• B) dollar; foreign
• C) foreign; dollar
• D) foreign; foreign

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Definitions:

Power Distance

A cultural dimension that reflects the degree to which less powerful members of a society accept and expect power to be distributed unequally.

Short-Termism

The focus on immediate gains or results at the expense of long-term strategy, sustainability, or investment. Often criticized in business and investment contexts.

Western Companies

Businesses that are based in or originated from Western countries, typically including countries in North America and Western Europe.

Revoking

The act of withdrawing, canceling, or annulling something previously granted, such as a privilege, right, or offer.