Holding constant risk and the real returns available abroad, lower domestic real interest rates ________ capital inflows, ________ capital outflows, and ________ net capital inflows.

The relationship between GDP and the money supply has gotten stronger since the 1980s

Indicate whether the statement is true or false

Markovich Corporation is considering building a new plant. It will cost $1 million today to build it and it will generate revenues of $1.121 million three years from today. Of the interest rates below, which is the highest interest rate at which Markovich still would be willing to build the plant?

a. 3 percent b. 3.5 percent c. 4 percent d. 4.5 percent