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Opening the financial market
Once the crisis, was apparent financial managers of MNEs should rationally stop expansion of. Local facilities
and try to repatriate cash balances in, local currencies if possible. This would cause the financial component. Of
the balance of payments to worsen for the countries involved. For companies manufacturing for, local
consumptionA drop in, local demand possibly caused by an increase in costs if imported components were
needed would lead, to cut backs. In production and, resultant unemployment making the crisis-caused depression
even worse.
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