A Net Capital Inflow Occurs in Open Economies Where Investment

question 24

Multiple Choice

A net capital inflow occurs in open economies where investment is _______ national savings.

• A) higher than
• B) lower than
• C) equal to
• D) either higher or lower than

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Definitions:

Managers

Individuals who are responsible for directing and overseeing the operations and strategies of an organization or its parts.

Priority Establishment

The process of determining the importance or urgency of various tasks or projects, often used in strategic planning and project management.

Retention Ratio

The retention ratio is a financial metric indicating the percentage of net income that is retained by a company, rather than being paid out as dividends. It reflects a company’s reinvestment rate.

Plowback Ratio

A measure of how much of a company's profit is reinvested into the business, rather than being distributed to shareholders as dividends.