A USFirm Opens a Factory That Produces Power Tools in Korea

Multiple Choice

A U.S.firm opens a factory that produces power tools in Korea.

A) This increases U.S.net capital outflow and decreases Korean net capital outflow.
B) This decreases U.S.net capital outflow and increases Korean net capital outflow.
C) This increases only U.S.net capital outflow.
D) This increases only Korean net capital outflow.