Capital inflows that take the form of direct investment may be particularly beneficial if they bring new technologies, new management techniques, and new ideas to the host country

"A government surplus can decrease investment through the crowding-out effect because the surplus decreases the supply of loanable funds." Is the previous assertion right or wrong? Why?

What will be an ideal response?

Technology transfer comes only from nations importing new capital goods in the current account

Indicate whether the statement is true or false