Which is an example of foreign portfolio investment?   a. Australian tourists going on a safari in Kenya. b. Indonesian merchants selling coffee beans to Japanese importers. c. US consumers increasing their demand for German automobiles. d. Brazilian banks using pesos to buy stock in Mexican corporations.

provides some hypothetical data on macroeconomicaccountsforthreecountriesrepresented by A, B, and C and measured in billions of currency units. In Table, private household saving is SH, tax revenue is T, government spending is G, and investment spending is I. a. Calculate the trade balance and the net inflow of foreign saving for each country. b. State whether each one has a trade surplus or deficit (or balanced trade). c. State whether each is a net lender or borrower internationally and explain.

Which scenario best demonstrates foreign direct investment? Salia started a Polish restaurant in her home country, the United States, after she took cooking lessons from a well-known chef in Poland.   Super Blooms, a reputable vegetable plant company in Holland, exports tomato, pepper, and potato garden plants across the globe.     Ups n Downs Inc., a Chinese firm, supplies roller coaster components in the United States.   Domesticity, a U.S.-based office furniture company, has set up its own assembly plant in Japan to cater to the needs of the Asian market.   Lux Linens, a fabric conglomerate in the United States, imports raw silk from China and Italy.

From the book  "Power and Plenty: Trade, War, and the World Economy in the Second Millennium" by Ronald Findlay and Kevin H. O'Rourke (2007) and "A History of the Global Economy: From 1500 to the Present" by Joerg Baten (2016). Discuss how does financial institutions and access to capital shaped the economic foundations of nations and lead to the varying ability of countries to invest in proximate factors such as physical capital and human capital. (please include a bibliography)