Question

In the 1800s, Europeans purchased stock in American companies that used the funds to build railroads and factories. The Europeans who did this engaged in...

a. foreign indirect investment.
b. foreign portfolio investment.
c. indirect domestic investment.
d. foreign direct investment.

Answer 1

Option b

Step-by-step explanation:

Technically when a foreign investor decides to invest into shares of a company located in other company (in this case European invested in American company) is making a portfolio investment.