What effect do low interest rates have on business investment?
(A) They encourage it.
(B) They slow it down.
(C) They generally stop it completely.
(D) They do not have much effect on essential investment.
Ans: (B) They slow it down.
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A tax placed on imports is known as
A) voluntary restraint agreement. B) tariff. C) quota. D) infant industry.
The money demand curve shifts to the left when the Fed buys government bonds
a. True b. False Indicate whether the statement is true or false
The classic example of a detrimental externality is
A. education. B. pollution. C. discovery of an AIDS vaccine. D. Mrs. Lewis’ prize-winning rose garden.
In game theory, an example of a payoff could be:
A. monetary gains made by a player. B. being the first mover in a game. C. sharing information with a select few that others aren't privy to. D. giving an advantage to only one player.