| True or false1.By the early 1990s, the radical position toward FDI was in retreat due to the rise of capitalism inEastern Europe
2.Historically, most FDI has been directed at the most developed nations of the world |
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| 3.One function of the foreign exchange market is to provide some insurance against the risks that arise from volatile changes in exchange rates, commonly referred to as foreign exchange risk. Although the foreign exchange market offers some insurance against foreign exchange risk, it cannot provide complete insurance.4.Spot exchange rates and the 90-day forward rates are not the same. | |
| 5.When companies wish to convert currencies, they typically enter the foreign exchange market through their own banks.6.Subsidies take the form of cash grants, but not low-interest loans or tax breaks |
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