Question
Would each of the following shift the Investment Demand for a private sector firm to the left or the right ? Circle the direction and
Would each of the following shift the Investment Demand for a private sector firm to the left or the right? Circle the direction and provide a brief reason for the shift.
a. Higher electricity costs for operating machinery:Investment Demand |
b. A tax break for businesses:Investment Demand |
c. An innovative new process that streamlines production:Investment Demand |
d. High levels of excess unused capital stock:Investment Demand |
e. Firms plan to increase inventories of a very trendy product:Investment Demand |
f. Businesses are pessimistic about future returns:Investment Demand |
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