In what direction will each of the following occurrences shift the investment demand curve, other things equal? a. An increase in unused production capacity occurs. b. Business taxes decline. c. The cost of equipment fall. d. Widespread pessimism arises about future business conditions and sales revenue. e. A major new technological breakthrough creates prospects for a wide range of profitable new products

Economics:
10th Edition
ISBN:9781285859460
Author:BOYES, William
Publisher:BOYES, William
Chapter9: Aggregate Expenditures
Section: Chapter Questions
Problem 5E
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In what direction will each of the following occurrences shift the investment demand curve, other things equal?

a. An increase in unused production capacity occurs.

b. Business taxes decline.

c. The cost of equipment fall.

d. Widespread pessimism arises about future business conditions and sales revenue.

e. A major new technological breakthrough creates prospects for a wide range of profitable new products.

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