If Greece suffers from capital flight,Grecian domestic investment will fall and Grecian net exports will increase.

Question

Quizplus · Accepted Answer

Capital flight refers to the movement of funds out of a country due to economic or political instability, which can lead to a decrease in domestic investment as investors lose confidence in the country's economy. As a result, businesses in Greece may have fewer funds available for investment, which can lead to a decrease in domestic investment. Additionally, a weakened economy can devalue the currency, making exports cheaper and more attractive to other countries which can increase net exports.

If Greece Suffers from Capital Flight,Grecian Domestic Investment Will Fall