Multiple Choice
You are the CEO of a U.S.firm considering building a factory in Chile.If the dollar appreciates relative to the Chilean peso,then other things the same
A) it takes fewer dollars to build the factory.By itself building the factory increases U.S.net capital outflow.
B) it takes fewer dollars to build the factory.By itself building the factory decreases U.S.net capital outflow.
C) it takes more dollars to build the factory.By itself building the factory increases U.S.net capital outflow.
D) it takes more dollars to build the factory.By itself building the factory decreases U.S.net capital outflow.
Correct Answer:

Verified
Correct Answer:
Verified
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