Refer to the information provided in Table 8.5 below to answer the questions that follow.
Table 8.5
A Hypothetical Investment Schedule
-Refer to Table 8.5. If the interest rate dropped from 15% to 6%, planned investment would ________ by $________ billion.
A) increase; 120
B) increase; 180
C) decrease; 120
D) decrease; 180

Question

Refer to the information provided in Table 8.5 below to answer the questions that follow.
Table 8.5
A Hypothetical Investment Schedule 
-Refer to Table 8.5. If the interest rate dropped from 15% to 6%, planned investment would ________ by $________ billion.
A) increase; 120 
B) increase; 180 
C) decrease; 120 
D) decrease; 180

Quizplus · Accepted Answer

A drop in the interest rate from 15% to 6% would typically lead to an increase in planned investment, as lower interest rates reduce the cost of borrowing, encouraging more investment. The specific increase of $120 billion would be based on the data provided in Table 8.5, which is not visible here.

Refer to the Information Provided in Table 8