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CAPITAL MOVEMENTS

IJAS ASLAM K P

CAPITAL
Cash or good used to generate income by

investing in a business or a different income property

CAPITAL MOVEMENT
Movement of capital between the

countries(capital inflows or out flows) Foreign direct investment Real estate investments or purchases Real estate investments or purchases Granting of loans and credits Other operations with financial institutions

Capital movement and Exchange rate

More inflow of capital

More demand for money Exchange rate increases

Capital movement and Exchange rate

More outflow flow of capital


More supply for money Exchange rate decreases

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