Question

What will likely be the impact large scale outflow of foreign capital of ppc of economy and why?

Answer 1

Answer:

please ask question with any meaning

Answer 2

$\large \green{ \fcolorbox{gray}{black}{ ☑ \: \textbf{Verified \: answer}}}$

• Large scale flow of Foreign capital leads to greater flow of money in the economy. It will lead to increase in the availability of resources & production capacity .
• Thus, ppc will shift to the rightward.

CASH IN FLOW

• It means that cash is going into the company.
• E.g : Receipt of a bank loan, Interest on savings and Investments and Shareholder investments etc

CASH OUT FLOW

• It means cash is going out of the company.
• E.g: Purchase of stock, Raw materials or tools, Wages, Rents and Daily operating expenses, Dividend payments, Income tax etc