8. International money and capital markets

Globalization has led to the progressive integration of capital markets around the world, allowing worldwide investors and corporations to trade with or in other countries.

The following table provides descriptions of certain transactions or situations. Based on your understanding of international capital markets and international money, choose the best term to match each description.

Description	Term
Deposits are made in U.S. dollars outside the United States.	a. U.S. time deposits b. Eurodollars
A European pharmaceutical company invests in a manufacturing facility in India.	a. Portfolio investment b. Direct investment
This is the tied interest rate on a Eurodollar deposit in Europe.	a. Federal funds rate b. LIBOR
This type of bond is issued by a European company, denominated in U.S. dollars, and sold to investors in Japan.	a. Yankee bond b. Eurobond