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1.What benefits can foreign direct investment bring to host countries that portfolio capital does not bring?Is this true for all FDI? 2.Why were real interest
1.What benefits can foreign direct investment bring to host countries that portfolio capital does not bring?Is this true for all FDI?
2.Why were real interest rates so low in 2018-19 when no major economy was in recession?
3.Why does the Solow model predict that capital should flow from rich countries to poor countries?Why does capital sometimes flow uphill (from poor to rich)?Use equations and diagrams to explain your answer.
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