INTERNATIONAL FINANCE THEORY AND
POLICY ACTUAL TEST PAPER UPDATED
COMPLETE QUESTIONS WITH VERIFIED
ANSWERS
●● Sovereign Lending
Answer: Loans made to a national government by other countries or
international institutions
●● Foreign Direct Investment (FDI)
Answer: Investment where a company owns or controls a business in
another country
●● Concessional Finance
Answer: Loans with low interest rates and favorable terms, usually for
developing countries
●● Multinational Corporation (MNC)
Answer: A company that operates in multiple countries
●● Global Supply Chains
Answer: The global network for producing and distributing goods
, ●● Reshoring
Answer: Bringing production back to a company's home country
●● Friendshoring
Answer: Moving production to allied or friendly countries
●● Bilateral Investment Treaty (BIT)
Answer: Agreement between two countries to protect and promote
investment
●● Recession
Answer: A period of economic decline with falling GDP, jobs, and
spending
●● Depression
Answer: A severe and long-lasting economic downturn
●● Default
Answer: Failure to repay debt
●● Austerity
POLICY ACTUAL TEST PAPER UPDATED
COMPLETE QUESTIONS WITH VERIFIED
ANSWERS
●● Sovereign Lending
Answer: Loans made to a national government by other countries or
international institutions
●● Foreign Direct Investment (FDI)
Answer: Investment where a company owns or controls a business in
another country
●● Concessional Finance
Answer: Loans with low interest rates and favorable terms, usually for
developing countries
●● Multinational Corporation (MNC)
Answer: A company that operates in multiple countries
●● Global Supply Chains
Answer: The global network for producing and distributing goods
, ●● Reshoring
Answer: Bringing production back to a company's home country
●● Friendshoring
Answer: Moving production to allied or friendly countries
●● Bilateral Investment Treaty (BIT)
Answer: Agreement between two countries to protect and promote
investment
●● Recession
Answer: A period of economic decline with falling GDP, jobs, and
spending
●● Depression
Answer: A severe and long-lasting economic downturn
●● Default
Answer: Failure to repay debt
●● Austerity