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What will likely be the impact of large scale outflow of foreign capital of production possibilities curve of the economy and why ? |
Answer» <html><body><p></p>Solution :Large scale outflow of foreign capital from the economy will <a href="https://interviewquestions.tuteehub.com/tag/reduce-1181332" style="font-weight:bold;" target="_blank" title="Click to know more about REDUCE">REDUCE</a> resources and <a href="https://interviewquestions.tuteehub.com/tag/thus-2307358" style="font-weight:bold;" target="_blank" title="Click to know more about THUS">THUS</a> <a href="https://interviewquestions.tuteehub.com/tag/production-14556" style="font-weight:bold;" target="_blank" title="Click to know more about PRODUCTION">PRODUCTION</a> potential of the country will fall. Fall in production potential in turn will <a href="https://interviewquestions.tuteehub.com/tag/shift-1205367" style="font-weight:bold;" target="_blank" title="Click to know more about SHIFT">SHIFT</a> the <a href="https://interviewquestions.tuteehub.com/tag/pp-592407" style="font-weight:bold;" target="_blank" title="Click to know more about PP">PP</a> curve downwards.</body></html> | |