As the interest rate falls, firms are more inclined to buy capital goods because the
A) present value of the stream of returns the goods will provide in the future increases.
B) present value of the stream of returns the goods will provide in the future decreases.
C) future value of the money paid for the capital goods decreases.
D) future value of the money paid for the capital goods remains constant.
Correct Answer:
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Q122: "Present value" refers to the
A)current worth of
Q124: The upward-sloping supply of loanable funds curve
Q127: Exhibit 29-4 Q128: Prices in stores and restaurants in Tokyo Q130: The supply curve for land is _ Q132: Exhibit 29-4 Q133: Pure economic rent exists only when Q136: The supply curve for land will be Q136: Exhibit 29-4 Unlock this Answer For Free Now! View this answer and more for free by performing one of the following actions Scan the QR code to install the App and get 2 free unlocks Unlock quizzes for free by uploading documents
A)opportunity costs
