Multiple Choice
In the open-economy macroeconomic model,net capital outflow rises if
A) either the exchange rate rises or the real interest rate falls.
B) either the exchange rate falls or the real interest rate rises.
C) the real interest rate rises.Net capital outflow does not depend on the exchange rate.
D) the real interest rate falls.Net capital outflow does not depend on the exchange rate.
Correct Answer:
Verified
Correct Answer:
Verified
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