Which of the Following Is Not True Regarding Foreign Interest

question 61

Multiple Choice

Which of the following is not true regarding foreign interest rates?

• A)The large flow of funds between countries causes interest rates in any given country to become more susceptible to interest rate movements in other countries.
• B)The expectations of a strong dollar should cause a flow of funds to the U.S.
• C)An increase in a foreign country's interest rates will encourage investors in that country to invest their funds in other countries.
• D)All of the above are true regarding foreign interest rates.

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Definitions:

Concession Bargaining

A negotiation process where union members agree to give up certain benefits or accept pay cuts in exchange for something else, such as job security.

Wage

The fixed regular payment, typically calculated on an hourly, daily, or piecework basis, made by an employer to an employee.

Benefit Reductions

The act of decreasing the amount or scope of the benefits (such as health insurance, retirement pensions) provided to employees by an employer.

Harassment

Behavior that is intimidating, hostile, or offensive to another person, often in the workplace or social setting.