If a country has a positive net capital outflow, then
a. on net it is purchasing assets from abroad. This adds to its demand for domestically generated loanable funds.
b. on net it is purchasing assets from abroad. This subtracts from its demand for domestically generated loanable funds.
c. on net other countries are purchasing assets from it. This adds to its demand for domestically generated loanable funds.
d. on net other countries are purchasing assets from it. This subtracts from its demand for domestically generated loanable funds.
a
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Adverse selection is caused by
a. Hidden actions b. Hidden information c. Both of the above d. None of the above
Factors of production are
a. the mathematical calculations firms make in determining their optimal production levels. b. social and political conditions that affect production. c. the physical relationships between economic inputs and outputs. d. inputs into the production process.