The investment function would shift inward to the left if
A) real disposable income decreased.
B) there was an increase in business taxes.
C) interest rates increased.
D) there was a positive change in productive technology.
B
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Whenever you discount a future sum of money into its present value, you must know I. the interest rate. II. the number of years in the future in which the money will be received
A) only I B) only II C) both I and II D) neither I nor II
Under the Bretton Woods system, if West Germany needed to change its parity rate with the U.S. dollar so that a person might offer fewer Deutsch marks to buy on e dollar, then they would be
A) revaluing their currency. B) devaluing their currency. C) appreciating their currency. D) depreciating their currency.
The GDP deflator does not differ from the CPI in its measurement of inflation in that it:
A. is the most widely used measure of price level changes for goods and services for consumers. B. does not include imports, which may have a real effect on the typical consumer's cost of living. C. uses the total quantities that are produced, not the ratio of what a typical consumer might consume. D. measures the price changes of all goods, not just those in a typical consumer's basket.
The McFadden Act was passed to prevent
A) banks from competing on the basis of deposit rates. B) foreign banks from operating in the United States. C) large nationwide banks from forming. D) banks from holding corporate stock as an asset.