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    Macroeconomics Study Set 9
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    Exam 5: The Global Financial System and Exchange Rates
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    When Net Capital Outflows Are Negative
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When Net Capital Outflows Are Negative

Question 25

Question 25

Multiple Choice

When net capital outflows are negative,


A) capital inflows are greater than capital outflows.
B) net factor payments must be positive.
C) the current account must be negative.
D) foreign direct investment must be greater than foreign portfolio investment.

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