A country such as the United States, which has a low saving rate and attractive investment opportunities, will tend to experience a long-term

Question

Quizplus · Accepted Answer

A country with a low saving rate and attractive investment opportunities will attract capital from foreign investors seeking to invest in these opportunities. This will result in an inflow of capital, which will be recorded as a current account deficit as the country is importing more capital than it is exporting.

A Country Such as the United States, Which Has a Low