Other things being equal, planned investment spending _____ as long as _____.
A) decreases; technological innovation develops faster than technological obsolescence
B) increases; sales exceed the existing production capacity
C) increases; the rate of growth of real GDP is lower than the marginal propensity to save
D) decreases; the rate of growth of physical capital is positive
Correct Answer:
Verified
Q36: An increase in the marginal propensity to
Q37: An initial change in the desired level
Q38: In a simple, closed economy (no government
Q39: In a simple, closed economy (no government
Q40: Suppose that investment spending increases by $50
Q42: Positive unplanned inventory investment occurs when actual:
A)
Q43: In a simple, closed economy (no government
Q44: According to the accelerator principle, a _
Q45: In a simple, closed economy (no government
Q46: The level of productive capacity _ planned
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