The market supply curve of capital is
A)upward sloping
B)perfectly inelastic
C)upward sloping at first but then bends backward
D)downward sloping
E)perfectly elastic

Name: The market supply curve of capital is A)upward sloping B)perfectly inelastic C)upward sloping at first but then bends backward D)downward sloping E)perfectly elastic
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Question

Quizplus · Accepted Answer

The market supply curve of capital is typically upward sloping because as the price of capital (interest rate) increases, more capital is supplied.

The Market Supply Curve of Capital Is