If the interest rate increases, which of the following will occur? O A. The quantity of planned investment will nrease. *B. The quantity of planned investment will decrease. OC. The investment function will shift rightward. *D. The investment function will shift leftward. Suppose that higher taxes are placed on businesses. Using the line drawing tool, show the effect on the investment function. Properly label your new curve. Carefully folow the instructons above, and anly draw the required objects. Planned Real Investment per Year (5 trillions) Annual Rate of Interest (%)
If the interest rate increases, which of the following will occur? O A. The quantity of planned investment will nrease. *B. The quantity of planned investment will decrease. OC. The investment function will shift rightward. *D. The investment function will shift leftward. Suppose that higher taxes are placed on businesses. Using the line drawing tool, show the effect on the investment function. Properly label your new curve. Carefully folow the instructons above, and anly draw the required objects. Planned Real Investment per Year (5 trillions) Annual Rate of Interest (%)
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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