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Foreign Direct Investment with Team 3

Total questions: 10

Worksheet time: 7mins

Name
Class
Date
1.

What does "balance of payments" mean?

a)

Keeping an accurate record of Debits and Credits

b)

Recordings of payments to and receipts from other countries

c)

Records of financial interactions between banks

d)

Equal Cost-To-Revenue transactions

2.

What is NOT a benefit of host country FDI?

a)

Greater economic growth

b)

Better infrastructure

c)

Greenfield investments

d)

Improves welfare of consumers

3.

Which one is NOT a home promotion method?

a)

Tax incentives/breaks

b)

Diplomatic negotiations

c)

Ownership restraints

d)

Asset insurance

4.

What is NOT an example of a home restriction method?

a)

Sanctions

b)

Taxing foreign income

c)

Limiting balance of payments

d)

Insurance for foreign assets

5.

What is a potential reason to intervene in foreign direct investment?

a)

Employment opportunities

b)

Cultural protection

c)

Bribing foreign officials

d)

Marxist Theory

6.

Which U.S. state outbid its competitors to secure Toyota's manufacturing plant be built there?​

a)

Tennessee

b)

Indiana

c)

Pennsylvania

d)

Kentucky

7.

Which is NOT an effect of host intervention?

a)

Economic growth

b)

Increase in exports

c)

Lack of domestic jobs

d)

Employment benefits

8.

United States intervention with FDI to Cuba is an example of what?

a)

Informal restriction

b)

Protesting

c)

Formal restriction

d)

Disinvestment

9.

What two industries are banned from any FDI involvement in Sweden? (Multiple Answers)

a)

Tobacco

b)

Coffee

c)

Mining

d)

Technology

10.

Outward FDI is to _____ as Inward FDI is to _____

a)

Home intervention; Host intervention

b)

Host intervention; Home intervention

c)

Promotion; Restriction

d)

Balance of payments; Intervention