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Answer to Question #123389 in Macroeconomics for Thando
Question #123389
Which of the following is correct.
A. Strict business regulations will shift the investment function to the right.
B. In the 45 degree line model, investment levels depend on the level of income.
C. The autonomous investment is negative when interest rate is zero.
D. A tax incentives will shift the investment function to the right
A. Strict business regulations will shift the investment function to the right.
B. In the 45 degree line model, investment levels depend on the level of income.
C. The autonomous investment is negative when interest rate is zero.
D. A tax incentives will shift the investment function to the right
Expert's answer
Answer D. A tax incentives will shift the investment function to the right
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Which one of the following statements is correct? Although the economy’s output is at its maximum capacity, are there still structural and frictional unemployment. A. Cost-push unemployment. B. Natural unemployment rate. C. Unrealistic unemployment rate. D. “Steady-state”.
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