Responses
Domestic investors direct capital to foreign countries through loans and grants issued to promote development.
Domestic investors direct capital to foreign countries through loans and grants issued to promote development.
Domestic investors direct capital to foreign countries through the purchase of land, labor, and physical capital.
Domestic investors direct capital to foreign countries through the purchase of land, labor, and physical capital.
Domestic investors direct capital to foreign countries through the purchase of securities issued by foreign entities.
Domestic investors direct capital to foreign countries through the purchase of securities issued by foreign entities.
Domestic investors direct capital to foreign countries through the merging of domestic and foreign businesses.
1 answer
The correct response that explains how foreign portfolio investment contributes to economic development is:
Domestic investors direct capital to foreign countries through the purchase of securities issued by foreign entities.
Foreign portfolio investment involves investing in financial assets such as stocks and bonds in foreign markets, which can provide capital for development in those countries.
