Assume that for the entire business sector of a private closed economy there is $0 worth of investment projects which will yield an expected rate of return of 25 percent or more.But there are $15 worth of investments which will yield an expected rate of return of 20-25 percent; another $15 with an expected rate of return of 15-20 percent; and similarly an additional $15 of investment projects in each successive rate of return range down to and including the 0-5 percent range. Which of the lines on the above diagram represents these data?
A) A
B) B
C) C
D) D
Correct Answer:
Verified
Q96: If a $500 billion increase in investment
Q143: If a $100 billion decrease in investment
Q144: The practical significance of the multiplier is
Q145: The investment-demand curve will shift to the
Q146: Which of the following is the primary
Q147: The multiplier effect:
A)reduces the MPC.
B)magnifies small changes
Q149: In contrast to the investment schedule, the
Q150: Assume that for the entire business sector
Q151: The multiplier is useful in determining the:
A)full-employment
Q152: The simple multiplier is defined as:
A)1 -
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