Investment spending
a. cannot be stimulated by decreasing the interest rate.
b. is often the cause of business fluctuations in the United States.
c. is a remarkably stable function of the level of real GDP.
d. is the primary solution to recessions and inflations, according to John Maynard Keynes.
b
You might also like to view...
Why does the short-run aggregate supply curve slope upward?
What will be an ideal response?
When toilet paper sales increase, quarterly economic growth tends to rise. This is an example of:
A. two variables that are negatively correlated. B. the presence of ceteris paribus. C. correlation without causation. D. causation with no correlation.
Elasticities measure the response of one variable to random shocks from unknown factors
Indicate whether the statement is true or false
An economy can have an abundant supply of labor, capital, and natural resources but still produce goods and services inefficiently
Indicate whether the statement is true or false