Answer to Question #240673 in Macroeconomics for Alue

Question

Based on the transmission mechanisms which Channels are more applicable on South Africa?

Answer 1

Stock market impact of the investments

In this channel, Firms issue and find high price for the stock related to equipment and facilities purchasing cost. In this case, south Africa's investment spendings increases considering the fact that firms will be able to purchase more investment products with a little issue related to stock.