Could the United States stop funds from flowing in from other countries? How?
Most economists agree that the problems we are witnessing today developed over a long period of time. For more than a decade, a massive amount of money flowed into the United States from investors abroad, because our country is an attractive and secure place to do business. This large influx of money to U.S. financial institutions—along with low interest rates—made it easier for Americans to get credit. These developments allowed more families to borrow money for cars and homes and college tuition—some for the first time. They allowed more entrepreneurs to get loans to start new businesses and create jobs.