In the 1930s, investment as a share of GDP was very low because
A) businesses had very low sales expectations
B) the nominal interest rate was very high
C) the real interest rate was close to zero
D) expansionary fiscal policy resulted in huge budget deficits, crowding out investment
E) expansionary monetary policy resulted in high inflation creating uncertainty
Correct Answer:
Verified
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A)in the
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Q20: Investment spending
A)is responsible for much of the
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