One Reason for the Volatility of Investment Is That

Multiple Choice

One reason for the volatility of investment is that

A) investment decisions can be postponed because of the durability of capital goods.
B) motives for saving and investment are the same for businesses and households.
C) firms maintain a constant rate of capacity utilization from year to year.
D) wages and prices are flexible.
E) consumer spending is erratic and unpredictable.