The purchase of foreign assets by domestic residents is recorded as a:

Name: The purchase of foreign assets by domestic residents is recorded as a:
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The purchase of foreign assets by domestic residents is considered a capital outflow because it involves moving domestic currency abroad to invest in foreign assets. This is recorded in the financial account (part of the balance of payments), reflecting the flow of capital from the domestic economy to foreign economies.

The Purchase of Foreign Assets by Domestic Residents Is Recorded