Foreign portfolio investment is sometimes called hot money because:
A) it can be withdrawn from a country very quickly.
B) it is very difficult to trace.
C) it is often invested in the assets which yield the highest returns in the world.
D) earnings often go untaxed by the home government.
Correct Answer:
Verified
Q55: The balance of payments is:
A) the accounting
Q56: The U.S.'s high trade deficit must be
Q57: The rapid movement of money across borders
Q58: The balance-of-payments identity is an equation that
Q59: For any given country, the net capital
Q61: When interest rates in the U.S. decline,
Q62: Net capital outflow (NCO) is:
A) capital inflow
Q63: If Bob in Texas buys bonbons made
Q64: If we consider the savings, investment, and
Q65: NCO plus domestic investment forms the:
A) demand
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