Multiple Choice
Which of the following statements about investment spending is false?
A) It is much more volatile than consumption spending.
B) The percentage swings in real investment spending are greater than the percentage swings in real GDP.
C) The durability of capital goods is one basic reason for the variability of investment spending.
D) During the Great Recession in 2007-2009, when interest rates essentially declined to zero, investment spending rose sharply.
Correct Answer:
Verified
Correct Answer:
Verified
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