Suppose business managers become more pessimistic about future sales and profits.How will this affect the autonomous investment function?
A) It will create a rightward movement along the autonomous investment function.
B) It will create a leftward movement along the autonomous investment function.
C) It will create an upward shift of the autonomous investment function.
D) It will create a downward shift of the autonomous investment function.

Question

Suppose business managers become more pessimistic about future sales and profits.How will this affect the autonomous investment function?  
A) It will create a rightward movement along the autonomous investment function. 
B) It will create a leftward movement along the autonomous investment function. 
C) It will create an upward shift of the autonomous investment function. 
D) It will create a downward shift of the autonomous investment function.

Quizplus · Accepted Answer

The Answer is D

Suppose Business Managers Become More Pessimistic About Future Sales and Profits.How