Explain how each of the following events affects (i) the investment demand curve; and (ii) aggregate demand and/or aggregate supply curve.
a. an increase in interest rates b. a decrease in interest rates c. an increase in the cost of capital goods d. a decrease in the level of economic activity e. a decrease in the minimum wage f. a natural disaster that destroys much of the capital stock

Question

Explain how each of the following events affects (i) the investment demand curve; and (ii) aggregate demand and/or aggregate supply curve. 
a. an increase in interest rates b. a decrease in interest rates c. an increase in the cost of capital goods d. a decrease in the level of economic activity e. a decrease in the minimum wage f. a natural disaster that destroys much of the capital stock

Quizplus · Accepted Answer

The Answer of Explain how each of the following events affects (i) the investment demand curve; and (ii) aggregate demand and/or aggregate supply curve. 
a. an increase in interest rates b. a decrease in interest rates c. an increase in the cost of capital goods d. a decrease in the level of economic activity e. a decrease in the minimum wage f. a natural disaster that destroys much of the capital stock

Explain How Each of the Following Events Affects (I) the Investment