The U.S. capital market is attractive to nonresident aliens seeking to invest, because rates of return on investments historically have been higher and more reliable than in other countries.1 By the end of 2002, foreign investments in U.S. corporate stocks were valued at $1,170.8 billion, despite substantial declines in the U.S. stock market. Foreign investment in U.S. corporate and agency bonds reached an all-time high of $1,690.3 billion.2
The U.S. economy bene
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