During the year, suppose a country's total purchases of newly produced capital goods is $2,000 billion, issues $1,600 billion of stock certificates, and has $500 billion in depreciation. Gross investment in this country equals
A) $2,500 billion.
B) $2,000 billion.
C) $2,100 billion.
D) $4,100 billion.
E) $3,600 billion.
B
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A) increases the demand for loanable funds B) reduces saving C) reduces consumption spending D) reduces the demand for loanable funds
Other things constant, countries with higher investment rates will
What will be an ideal response?
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