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:

Question

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:

Quizplus · Accepted Answer

Improved U.S. political stability relative to foreign political stability would make the U.S. more attractive for foreign investments, leading to an increase in capital inflows, thus shifting the capital and financial account schedule upward.