Multinationals have a comparative advantage over domestic firms in exploiting cross-border differences in financial markets.

Question

Quizplus · Accepted Answer

Multinationals have greater resources and expertise to navigate the complexities of different financial markets and regulations across borders, giving them an advantage over domestic firms in exploiting cross-border differences. This can include accessing cheaper sources of funding, managing currency risks, and maximizing returns on investments.

Multinationals Have a Comparative Advantage Over Domestic Firms in Exploiting