Net foreign investment measures:
A)foreign assets held by domestic residents
B)investment plus saving
C)the imbalance between the amount of foreign assets bought by domestic residents and the amount of domestic assets bought by foreigners
D)none of the above

Question

Quizplus · Accepted Answer

Net foreign investment measures the difference between the amount of foreign assets bought by domestic residents and the amount of domestic assets bought by foreigners. Option A refers to foreign assets held by domestic residents, which is not necessarily a measure of net foreign investment. Option B is the sum of investment and saving, which is not related to net foreign investment. Option D is incorrect since there is a correct choice.

Net Foreign Investment Measures