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Question

Which of the following is not a way capital flows from one country to another?

A
Movement of Indian rupees in India in exchange of service bought
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B
Movement of US dollars to India and Indian rupees to the United States of America
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C
Buying of a land property in India by a US citizen
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D
Buying of a US company by an Indian citizen
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Solution

The correct option is D Buying of a US company by an Indian citizen
Globalization involves the movement of capital across countries. US dollars can be used in India and vice versa. This is known as the movement or flow of capital. This flow of capital happens when a foreign investor buys land, building, or a company in another country. This is known as foreign investment.

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