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Answer to Question #253766 in Economics for Sakshi

Question #253766
Level of investment in an economy depends upon what?
1
Expert's answer
2021-10-20T10:05:29-0400

Investment levels are influenced by:

  1. Interest rates (the cost of borrowing)
  2. Economic growth (changes in demand)
  3. Confidence/expectations
  4. Technological developments (productivity of capital)
  5. Availability of finance from banks.
  6. Others (depreciation, wage costs, inflation, government policy)

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