Which of the following is not a common result of Foreign owning large amounts of Home’s debt? A.Home’s interest rate will be lower due to the larger demand for Home’s credit. B.Increased funds and resources are available for Home’s entrepreneurs C.Foreign’s citizens gain the ability to tank Home’s bond market D.Greater numbers of investors will lead to more creative use of Home’s resources

When a foreign country owes a large amount of Home's debt then it is like an outflow of capital from…

Answered: Which of the following is not a common…

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter29: Exchange Rates And International Capital Flows

Section: Chapter Questions

Problem 6SCQ: A booming economy can attract financial capital inflows, which promote further growth. However,...

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Which of the following is not a common result of Foreign owning large amounts of Home’s debt?

	A.	Home’s interest rate will be lower due to the larger demand for Home’s credit.
	B.	Increased funds and resources are available for Home’s entrepreneurs
	C.	Foreign’s citizens gain the ability to tank Home’s bond market
	D.	Greater numbers of investors will lead to more creative use of Home’s resources

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