Foreign direct investment differs from portfolio investment in that FDI

is always smaller than portfolio investmentCorrect answerYour answeris made only by governmentsCorrect answerYour answeris recorded in the current accountCorrect answerYour answergives the investor a lasting interest and a say in managing the businessCorrect answerYour answer

Show the answer and explanation

CorrectNot quiteAnswer D

Correct answer: D

FDI means building or buying control of a business; portfolio investment is buying shares or bonds for returns.

Concept: FDI and portfolio investment
Typical timeTypical: 70 s
Your timeYours: —

The rule this testsThe capital account

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Ten questions from Balance of Payments, at your own pace.

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Ten questions from Balance of Payments, at your own pace.

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Foreign direct investment differs from portfolio investment in that FDI

Explanation