In the Market for Foreign-Currency Exchange in the Open-Economy Macroeconomic

Multiple Choice

In the market for foreign-currency exchange in the open-economy macroeconomic model, what does the amount of net capital outflow represent?

A) the quantity of dollars supplied for the purpose of selling assets domestically
B) the quantity of dollars supplied for the purpose of buying assets abroad
C) the quantity of dollars demanded for the purpose of buying Canadian exports of goods and services
D) the quantity of dollars demanded for the purpose of importing foreign goods and services