NO.PZ2023071902000043
问题如下：
QuestionThe primary reason for a country to promote foreign direct investment while heavily limiting foreign investment in liquid domestic assets is most likely to:
选项：
A.prevent capital flight.
B.
Induce an increase in the domestic interest rate.
C.stabilize the production capacity of the domestic country.
解释：
Solution
- Correct. By restricting foreign investment in liquid domestic assets and encouraging foreign direct investment in illiquid domestic assets, the country aims to prevent capital flight, which occurs when foreign investment in liquid assets suddenly decreases.
- Incorrect. Restricting foreign investment in liquid domestic assets would not lead to an increase in the domestic interest rate.
- Incorrect. Foreign direct investment typically enhances the production capacity of the domestic country, but this option does not accurately represent the reason for the mentioned policy approach.
• describe common objectives of capital restrictions imposed by governments
"While heaving limiting foreign investment" 是从句吗？
