In the market for loanable funds in an open economy, which of the following is not a form of international investment?

Question

Quizplus · Accepted Answer

Domestic money invested domestically does not involve any international investment as it refers to investments made within the domestic economy. Net capital outflow (A), capital inflow (B) and domestic money invested internationally (C) all involve cross-border investment and are therefore forms of international investment.

In the Market for Loanable Funds in an Open Economy