Single Answer MCQ
Q-00045527

What has contributed to greater flows of foreign investment?

1

Increased trade barriers

2

Global financial markets

3

Local sourcing of materials

4

Government restrictions on capital

Answer and Solution

Answer

B. Global financial markets

Solution:

The development of global financial markets facilitates foreign investment flows as it allows easier access to capital and investment opportunities. The other options would hinder investment, rather than encourage it.

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