International Financial Management
International Financial Management
14th Edition
ISBN: 9780357130698
Author: Madura
Publisher: Cengage
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Which of the following are suppliers of loanable funds?     households     government units     foreign investors     All of these choices are correct Which of the following do foreign suppliers of funds in the U.S. financial market assess?     interest rates offered on financial securities     their total wealth     foreign investors     All of these choices are correct.
Why might a foreign government’s policies be closely monitored by investors in other countries, even if the investors plan no investments in that country? Explain how monetary policy in one country can affect interest rates in other countries.
c. Explain the rationale both from theoretical and practical perspective of why MNCs may invest or divest funds in a financial market outside its own country. Support your argument with an appropriate example.
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