MCQOPTIONS
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| 1. |
Both Foreign Direct Investment (FOI) and Foreign Institutional Investor (FII) are related to investment in a country. Which one of the following statements best represents an important difference between the two? [CSAT 2011] |
| A. | FII helps bring better management skills and technology, while FDI only brings in capital |
| B. | FII helps in increasing capital availability in general, while FDI only targets specific sectors |
| C. | FDI flows only into the secondary market, while FII targets primary market |
| D. | FII is considered to be more stable than FDI |
| Answer» C. FDI flows only into the secondary market, while FII targets primary market | |