Figure 13.1.U.S.Capital and Financial Account

Figure 13.1.U.S.Capital and Financial Account
-Refer to Figure 13.1.The U.S.capital and financial account schedule would shift upward from CA₀ to CA₁ if:

A) U.S.residents receive subsidies to invest in foreign nations
B) U.S.interest rates rise relative to foreign interest rates
C) Taxes are reduced on income earned by U.S.residents from their foreign investments
D) Expected profits decline on U.S.investments in foreign manufacturing