What kind of capital movements in and out of a country can cause harm to the...
What kind of capital movements in and out of a country can cause harm to the country?
Homework Answers
Answer : Capital movement of money purpose of investment, trade or business production including the flow of capital within corporation in the form of investment capital, operation spending as well as research and development . Capital movement is related to moving the investment as well as capital spending on operations.
Kind of capital movement occur are :
- Excess import or export of the Securities.
- Dividend payment or an interest payment. Excess payment in dividend to the Japanese by the American company resulted in decrease in the capital flow.
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