Answer:
D) neither the first nor the second
Explanation:
Countries with low level of real GDP per capita (not per person) are usually developing countries which don't have a high level of industrialization in their economies.
If the government decides to decrease trade barriers, the country could will probably be overflowed by imports form other developed countries which will damage severely their few industries.
Foreign portfolio investment is usually very important in developing economies since it helps gather capital to start new industries or finance existing ones. This happens because developing countries usually don't have efficient financial markets. If the government decides to restrict foreign portfolio investment it will increase the local cost for capital which would also hurt local industries.
