When the interest rate in the U.S.falls, U.S.financial assets:
A)become more attractive to foreign buyers.
B)become less attractive to both foreign and domestic buyers.
C)become more attractive to both foreign and domestic buyers.
D)become less attractive to domestic buyers and more attractive to foreign buyers.

Question

Quizplus · Accepted Answer

When interest rates fall, the return on U.S. financial assets decreases, making them less attractive to both foreign and domestic buyers seeking higher returns.

When the Interest Rate in the U