Suppose That the Real Return from Operating Factories in Australia

question 66

Multiple Choice

Suppose that the real return from operating factories in Australia rises relative to the real rate of return in Canada.What are the effects of this transaction?

• A) This will increase Canadian net capital outflow and decrease Australian net capital outflow.
• B) This will decrease Canadian net capital outflow and increase Australian net capital outflow.
• C) This will only affect Canadian net capital outflow.
• D) This will only affect Australian net capital outflow.

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Definitions:

OFCCP

The Office of Federal Contract Compliance Programs, a U.S. Department of Labor agency responsible for ensuring that employers doing business with the Federal government comply with non-discrimination and affirmative action laws.

Federal Anti-Discrimination Laws

Legislation enacted by the federal government to prevent discrimination in employment and other areas based on race, color, religion, sex, national origin, age, disability, or genetic information.

Civil Rights Act

A landmark piece of legislation in the United States that outlaws discrimination based on race, color, religion, sex, or national origin, initially passed in 1964 to enforce constitutional rights and eliminate discrimination.

Punitive Damages

Compensation awarded in a lawsuit as a punishment to the defendant for malicious, violent, oppressive, fraudulent, or reckless behavior, and to deter similar conduct in the future.