The Level of Investment Spending Is Affected by Changes in the Interest

The level of investment spending is affected by changes in the interest rate, since higher interest rates

A) will increase the cost of borrowing and thus lower the incentive to purchase capital equipment
B) will make it more profitable to invest in the stock market
C) will increase the return on saving
D) will lower the value of government bonds so banks will lend more to firms and less to the government
E) all of the above