A Consequence of the World Movement Toward Financial Integration and Openness

question 92

Multiple Choice

A consequence of the world movement toward financial integration and openness is:

• A) depreciating exchange rates.
• B) financial interdependence coupled with a tenfold increase in the volume of foreign assets.
• C) a retreat toward safety and heavier regulation of financial flows.
• D) dominance by the United States as being the only destination for investment funds.

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Definitions:

Communicated

The process by which information is exchanged or conveyed between individuals through a common system of symbols, signs, or behavior.

Language

A system of communication used by a particular community or country, involving the use of words in a structured and conventional way.

Learning

The process of acquiring new understanding, knowledge, behaviors, skills, values, or preferences through study, experience, or teaching.

Production

The process of creating goods and services by combining various inputs such as labor, capital, and raw materials in order to generate economic value.