Final answer:
The statement is false(b) because the majority of American firms are small to medium-sized enterprises, not privately owned multinational enterprises.
Step-by-step explanation:
The statement that the majority of focal firms are privately owned multinational enterprises is false(b). While it is true that there are many large and well-known multinational corporations, such as Wal-Mart, Microsoft, or General Motors, which operate on a global scale, the majority of firms, particularly in the United States, are actually small and medium-sized enterprises (SMEs). According to the U.S. Census Bureau data from 2010, the vast majority of American firms have fewer than 20 employees, and a significant portion of workers in the U.S. economy are at firms with fewer than 100 workers.
Additionally, multinational corporations are defined by a number of characteristics such as collecting capital from a variety of nationalities, operating without regard to national borders, and often concentrating wealth in core nations. It's also not accurate to say that they are headquartered primarily in the United States as they can be based anywhere around the world.