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  3. Study Set
    Principles of Economics Study Set 5
  4. Exam
    Exam 32: A Macroeconomic Theory of the Open Economy
  5. Question
    Refer to Figure 19-3
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Refer to Figure 19-3

Question 173

Question 173

Multiple Choice

Refer to Figure 19-3.The curve in panel b shows that as the interest rate rises,


A) domestic investment declines.
B) net capital outflow declines.
C) net capital outflow and domestic investment decline.
D) None of the above is correct.

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