CFA Practice Question

There are 581 practice questions for this topic.

CFA Practice Question

Which of the following is NOT considered to be a benefit of capital inflows?

A. Capital can be invested to earn the highest return.
B. Long-term investment by foreign firms can bring in new technology, skills, and management practices.
C. Domestic firms unable to compete will likely be forced to exit the market.
Correct Answer: C

On the other hand, increased competition from foreign firms in the market may force domestic firms to be more efficient.

User Contributed Comments 0

You need to log in first to add your comment.