the In a forward market hedge, a company that is long a foreign currency will foreign currency forward, whereas a company that is short a foreign currency will the currency forward. 1) buy; sell 2) sell; buy 3) borrow; sell 4) lend; buy Capital flight can occur for varieties of reasons. To prevent capital flight, which one of the following would NOT be a constructive measure governments may take? 1) cutting budget deficits 2) impose comprehensive capital controls 3) sell off state-owned enterprises 4) allowing for freer trade