89.8k views
5 votes
When net capital outflow decreases, the quantity of loanable funds saved ___________?

1 Answer

3 votes

Final answer:

When net capital outflow decreases, the quantity of loanable funds saved decreases.

Step-by-step explanation:

The quantity of loanable funds saved decreases when net capital outflow decreases. When net capital outflow decreases, it means that there is a decrease in the amount of funds flowing out of the country to invest in foreign assets. This leads to a decrease in the supply of loanable funds within the domestic market, resulting in a decrease in the quantity of loanable funds saved.

User Ezward
by
9.3k points
Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.

9.4m questions

12.2m answers

Categories