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Which Statement Best Defines Net Capital Outflow

Question 89

Multiple Choice

Which statement best defines net capital outflow?


A) It is the purchase of foreign assets by domestic residents minus the purchase of domestic assets by foreign residents.
B) It is the purchase of foreign assets by domestic residents minus the purchase of foreign goods and services by domestic residents.
C) It is the purchase of domestic assets by foreign residents minus the purchase of domestic goods and services by foreign residents.
D) It is the purchase of domestic assets by foreign residents minus the purchase of foreign assets by domestic residents.

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