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CENGAGE |MINDTAP Q Search Homework (Ch 19) (? ) The Market for Loanable Funds in Mexico Mexican Net Capital Outflow 7 REAL INTEREST RATE (Percent)

CENGAGE |MINDTAP Q Search Homework (Ch 19) (? ) The Market for Loanable Funds in Mexico Mexican Net Capital Outflow 7 REAL INTEREST RATE (Percent) Supply W 2 Demand REAL INTEREST RATE (Percent) w N NCO -1 0 6 -1 LOANABLE FUNDS ( Billions of pesos) 4 -3 -2 4 5 NET CAPITAL OUTFLOW (Billions of pesos) Complete the first row of the table to reflect the state of the markets in Mexico. Real Interest Rate Net Capital Outflow (NCO) (Percent) ( Billions of pesos) Initial state After capital flight

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