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Business, 01.02.2021 21:00 BOYAWESOME0202

Use two correctly labeled side-by-side graphs of the loanable funds market in the United States and China to show how a higher interest rate in the United States will lead to capital flows between the two countries. On your graphs, be sure to label the equilibrium interest rate in each country in the absence of international cap- ital flows, the international equilibrium interest rate, and the size of the capital inflows and outflows.

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Use two correctly labeled side-by-side graphs of the loanable funds market in the United States and...
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