CFA Practice Question

There are 341 practice questions for this study session.

CFA Practice Question

True or False? Capital flows permit nations to trade consumption today for consumption in the future.
Correct Answer: True

For example, Japan has a population that is aging more rapidly than that of the U.S. It makes sense for Japanese to save for their retirement by building up claims on future income in the U.S. while permitting residents of the U.S. to borrow at lower interest rates than they could otherwise pay.

User Contributed Comments 2

User Comment
choas69 Japan has a population that is aging more rapidly than that of the U.S, can someone explain this part to me.
mali97 Japan has lesser number of younger working pop
You need to log in first to add your comment.