If a country has a net capital inflow,it means they:
A)have a trade surplus.
B)have a trade deficit.
C)have more exports than imports.
D)None of these statements is true.

Question

Quizplus · Accepted Answer

A net capital inflow means that a country is receiving more money into its economy than it is sending out. This typically happens when a country has a trade deficit, meaning it is importing more goods and services than it is exporting. The excess supply of foreign currency leads to an inflow of capital into the country, which can be used to finance investment or other domestic spending.

If a Country Has a Net Capital Inflow,it Means They