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Return to 31 The investment demand curve for a country is shown on the diagram below. Suppose that a research institute in this country has

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Return to 31 The investment demand curve for a country is shown on the diagram below. Suppose that a research institute in this country has just developed a new medical scanner that can detect cancer in significantly earlier stages than the current technology. The research institute has licensed the scanner technology to several medical device manufacturers in the country. Other things equal, what do you expect will happen to investment demand in this country? Demonstrate your answer using the graph below. 2 Instructions: Use the tool provided 'ID,' and draw a new investment demand curve to reflect the change in technology. Plot only the points endpoints of the line. Your Graph Score: 0% Investment Demand 14 ID 12 ID1 10 :d rate of return and real interest rate (%) 00 Mc Graw

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