Scenario 32-4

In 2011 Greek citizens were concerned about the size of government debt. Fearful that the government might be unable to fulfill its promise to insure depositors in Greek banks against losses created by bank failures, depositors moved funds out of Greek banks.
-Refer to Scenario 32-4. Because of depositors reactions what happened to net capital outflow?

Question

Scenario 32-4
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In 2011 Greek citizens were concerned about the size of government debt. Fearful that the government might be unable to fulfill its promise to insure depositors in Greek banks against losses created by bank failures, depositors moved funds out of Greek banks.
-Refer to Scenario 32-4. Because of depositors reactions what happened to net capital outflow?

Quizplus · Accepted Answer

The Answer of Scenario 32-4
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In 2011 Greek citizens were concerned about the size of government debt. Fearful that the government might be unable to fulfill its promise to insure depositors in Greek banks against losses created by bank failures, depositors moved funds out of Greek banks.
-Refer to Scenario 32-4. Because of depositors reactions what happened to net capital outflow?

Scenario 32-4 ​

Scenario 32-4