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Assume there are no investment projects in the economy that yield an expected rate of return of 25 percent or more. But suppose there are
Assume there are no investment projects in the economy that yield an expected rate of return of 25 percent or more. But suppose there are $10 billion of investment projects yielding expected returns of at least 20-25 percent; another $10 billion vielding at least 15-20 percent; another $10 billion yielding at least 10-15 percent; and so forth.a. Draw this relationship between the expected return and investment expenditure.Instructions: Use the tool provided 'ID' to plot the investment demand curve. Plot 6 points total.
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