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Author Question: A developing economy is considering restricting the amount of money its citizens can invest abroad. ... (Read 306 times)

mwit1967

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on: Apr 19, 2019

Question 1

An economy is not able to develop because of a lack of capital. Which of the following strategies would you suggest this economy pursue?


◦ lower interest rates
◦ impose quotas on how much capital can be imported from other countries to reduce dependency on foreign capital
◦ increase the political stability of the economy
◦ nationalize private enterprises because the government sector is not motivated by profit maximization

Question 2

A developing economy is considering restricting the amount of money its citizens can invest abroad. What might the purpose of this restriction be?


◦ to increase the dependency of the economy on developed economics
◦ to increase capital formation by forcing its citizens to invest in their own country
◦ to reduce the nation's trade deficit so that interest rates will be reduced and capital formation will increase
◦ to increase the degree of equality in the income distribution
Principles of Economics ¦ Case, Fair, Oster ¦ 12th Edition
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Marked as best answer by mwit1967 on Apr 19, 2019

epscape

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Reply #1 on: Apr 19, 2019
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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mwit1967

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Reply #2 on: Apr 19, 2019
Excellent


epscape

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Reply #3 on: Apr 19, 2019
Great! Please up vote :D


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