Question 2 D Question 9In an open economy with a given level ofreal interest rates and risk, a decrease inreal interest rates abroad willinflows andcapitalthe equilibriumdomestic real interest rate.O increase; not changeO increase: increaseO decrease; increaseO increase; decrease

In an open economy, any change in real interest rate will have a significant impact on capital…

In an open economy with a given level of real interest rates and risk, a decrease in real interest rates abroad will capital inflows and the equilibrium domestic real interest rate. O increase; not change O increase; increase decrease: increase O increase; decrease

In an open economy with a given level of real interest rates and risk, a decrease in real interest rates abroad will capital inflows and the equilibrium domestic real interest rate. O increase; not change O increase; increase decrease: increase O increase; decrease

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter18: Savings,investment And The Financial System

Section: Chapter Questions

Problem 4QR

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