Interest Rates and International Capital Flows
AP Macroeconomics · Flashcards · Recall
AP MACROECONOMICS · FLASHCARDS
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QUESTION
Find the effect of real interest rates on government debt costs.
QUESTION
State the relationship between inflation and nominal interest rate.
QUESTION
Which option describes capital flight?
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ANSWER
Rapid outflow of capital from a country. Sudden massive withdrawal of funds due to economic instability.
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