If Investors in a Large Open Economy Become More Willing

Multiple Choice

If investors in a large open economy become more willing to substitute foreign and domestic assets, then this will make the net capital outflow function:

A) steeper, and the slope of the IS curve steeper.
B) steeper, and the slope of the IS curve flatter.
C) flatter, and the slope of the IS curve steeper.
D) flatter, and the slope of the IS curve flatter.