Consider the following:
A foreign automobile company builds a manufacturing plant in Tennesse...
Consider the following:
A foreign automobile company builds a manufacturing plant in Tennessee and European investors buy U. S. Treasury Bonds.
a. Both activities would be considered direct investment.
b. Both activities would be considered portfolio investment.
c. The auto manufacturer in engaging in portfolio investment, and the European investors are engaged in direct investing.
d. The auto manufacturer in engaging in direct investment, and the European investors are engaged in portfolio investing.
Answers: 3
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