Which of the Following Is False About Multinational Corporations in the Global

question 103

Multiple Choice

Which of the following is false about multinational corporations in the global economy?

• A) They have contributed to the exploitation of the poor peripheral nations.
• B) Multinationals' search for cheap labor has encouraged low-skilled workers to immigrate from poor to richer nations.
• C) Multinationals have created a poor and dependent workforce that is predominantly white.
• D) They have contributed to racial tensions between people from different countries.

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Definitions:

Round Lot

A standardized number of units of an asset or security, usually used as the normal trading unit in the stock market.

Clientele

Refers to the base of customers or clients who regularly do business with an establishment or who are served by an organization, professional, or agency.

Compromise Dividend Policy

An approach to dividend disbursement that attempts to balance the interests of shareholders preferring regular dividends with those favoring reinvestment of profits.

Positive Net Present Value

Indicates that the present value of future cash flows from an investment exceeds the initial investment cost, suggesting profitability.