List six events that could cause a shift in the investment demand curve.

What will be an ideal response?


Six events would result from changes in the determinants of investment demand. For example, changes in the price, cost of operation, or maintenance of particular investment goods could cause the curve to shift; changes in business taxes favoring or penalizing investment could cause it to shift; a technological change favoring new investment could cause a shift; changes in the stock of capital goods on hand will cause the existing demand curve to shift; planned changes that firms desire to make to their inventory levels will cause the investment demand curve to shift; and changing expectations about future profits from investment would have an effect.

Economics

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An employed individual is one who:

A) has been actively looking for jobs. B) was previously employed but has quit his job voluntarily. C) has a full-time or part-time paid job. D) is performing household chores for free.

Economics

What is productive efficiency? Does it guarantee that markets are operating efficiently?

Economics

The velocity of money is

a. the rate at which the price index for consumer goods rises. b. the multiple by which an increase in government expenditures will cause output to rise. c. set by the Board of Governors of the Federal Reserve System. d. the average number of times one dollar is used to buy final goods and services during a year.

Economics

If we compare the trend in median wage for people with no more than a high-school education to that of people with a bachelor's degree, which of the following best describes median wage trend in the U.S?

a. The median inflation-adjusted wages for people with only a high school education have declined by about 6 percent since 1980, while the median wage of college graduates has risen by 12 percent in the same time period. b. The median inflation-adjusted wages for college graduates has declined by approximately 25 percent since 1980, while the median wage for people with only a high-school education has remained constant. c. The median inflation-adjusted wages for college graduates has increased by approximately 150 percent since 1980, while the median wage for people with only a high-school education has increased by only 31 percent. d. The median inflation-adjusted wages for college graduates has remained constant since 1980, while the median wage for people with only a high-school education has increased by 150 percent.

Economics