Respuesta :
Answer:
What do capital controls prevent?
Speculators from rushing into and out of a country's market and
disrupting its economy.
Explanation:
Capital control entails when a body that regulates money in a country controls the cash inflow and outflow
Answer:
The answer is C. Speculators from rushing into and out of a country's market and disrupting its economy.
Explanation:
When speculating investors rushes money in and out of a country without considering the long term economic perspectives, this destabilise the equity prices and affect negatively to local and potential investors as well.
To prevent such disarrays in the market, the governments and regulatory bodies enforce capital control mechanics. So that the smooth flow of investing capitals is ensured.