What is capital inflow and outflow? - TimesMojo
What is capital inflow and outflow? - TimesMojo
Jul 7, 2022
timesmojo.com
Consider a stock with a single inflow rate R1 and single outflow rate R2. Drawthe behavior of the stock given the rates R 1 and R2 shown in each panel ofFigure below. The initial value of the stock is 100 units in both cases. Do not usea computer. The point is to develop your intuition about stocks and flows andyour ability to relate their behavior. Using simulation defeats that purpose andwill take longer as well.Behavior of a hypothetical stockThe trajectory of a stock is shown in Figure 7-6.
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