Planned investment expenditures will eventually decrease after:
A)the money supply decreases.
B)the demand for money decreases.
C)the interest rate falls.
D)the Fed buys government securities.
E)business managers become more optimistic about future market conditions for their products.

Question

Quizplus · Accepted Answer

A decrease in the money supply typically leads to higher interest rates, which can discourage investment by making borrowing more expensive.

Planned Investment Expenditures Will Eventually Decrease After