McqMate
| Q. |
Which of the following is true regarding the capital market development since the 1970s? |
| A. | The extent of intertemporal trade was larger than theory predicts. |
| B. | Onshore-offshore interest rate differentials were too large. |
| C. | The extent of the international portfolio diversification was smaller than theory predicts. |
| D. | The role of emerging markets declined over time. |
| Answer» C. The extent of the international portfolio diversification was smaller than theory predicts. | |
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