What term refers to a large and sudden reduction in the demand for assets located in a country?
A) purchasing-power parity
B) capital flight
C) crowding out
D) capital mobility

Question

Quizplus · Accepted Answer

Capital flight refers to a large and sudden reduction in the demand for assets located in a country. This happens when investors and individuals move their money out of a country because they fear economic or political instability.

What Term Refers to a Large and Sudden Reduction in the Demand