Solved

Assume That Investment Does Not Depend on the Interest Rate

Question 42

Multiple Choice

Assume that investment does not depend on the interest rate.A reduction in government spending will cause which of the following for this economy?


A) no change in the interest rate
B) no change in output
C) no change in investment
D) an increase in investment
E) none of the above

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions