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    Economics Study Set 7
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    Exam 11: Macroeconomic Equilibrium: Aggregate Demand and Supply
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    Other Things Equal, Investment Spending Will Increase When
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Other Things Equal, Investment Spending Will Increase When

Question 118

Question 118

Multiple Choice

Other things equal, investment spending will increase when:


A) interest rates are lowered.
B) firms operate under full capacity.
C) corporate taxes are increased.
D) capacity utilization is low.
E) the cost of capital rises.

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