Shift to the left or right for supply: business taxes increase or subsidaries decrease
What will be an ideal response?
left
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Which of the following is a TRUE statement relative to retained earnings and investment?
A) Lower interest rates stimulate borrowing for investment, but discourage the use of retained earnings for investment. B) Lower interest rates reduce the opportunity cost of retained earnings, stimulating the use of these funds in investment. C) Lower interest rates stimulate borrowing for investment, but have no effect on the use of retained earnings for investment spending. D) Lower interest rates have no effect on investment spending at all because investment spending is autonomous.
What is the "invisible hand"?
What will be an ideal response?
What is the relationship between the marginal revenue curve and the demand curve for a single-price monopoly?
What will be an ideal response?
Substitutes are pairs of goods that have a positive cross-price elasticity of demand
a. True b. False