« previous next »

Author Question: What does the investment demand curve show? What will be an ideal ... (Read 58 times)

HudsonKB16

  • Hero Member
  • *****
  • Posts: 535
on: Jun 29, 2018
What does the investment demand curve show?
 
  What will be an ideal response?

Question 2

Robert Lucas, a Nobel laureate in economics, argues that there are ________ returns to human capital.
 
  A) negative B) decreasing C) constant D) increasing


underwood14

  • Sr. Member
  • ****
  • Posts: 346
Reply #1 on: Jun 29, 2018
Answer to Question 1

The investment demand curve shows the demand for capital in the economy as a function of the market interest rate. Only those investment projects that are expected to yield a rate of return higher than the market interest rate will be funded. Lower interest rates should stimulate investment.

Answer to Question 2

D


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

Cucumber slices relieve headaches by tightening blood vessels, reducing blood flow to the area, and relieving pressure.

Did you know?

A seasonal flu vaccine is the best way to reduce the chances you will get seasonal influenza and spread it to others.

Did you know?

Approximately 25% of all reported medication errors result from some kind of name confusion.

Did you know?

Asthma attacks and symptoms usually get started by specific triggers (such as viruses, allergies, gases, and air particles). You should talk to your doctor about these triggers and find ways to avoid or get rid of them.

Did you know?

According to the American College of Allergy, Asthma & Immunology, more than 50 million Americans have some kind of food allergy. Food allergies affect between 4 and 6% of children, and 4% of adults, according to the CDC. The most common food allergies include shellfish, peanuts, walnuts, fish, eggs, milk, and soy.

Horizontal, sagittal, and coronal functional MRIs show areas of increased activity in the primary ... Horizontal, sagittal, and coronal functional MRIs show areas of increased activity in the primary ...
Reaction 3: The Second Investment of ATP Reaction 3: The Second Investment of ATP
The Frequency Distribution Curve of a Drug The Frequency Distribution Curve of a Drug
The original Supply and Demand graph The original Supply and Demand graph
Consider a two-period economy with no investment opportunities: first and second period output ... Consider a two-period economy with no investment opportunities: first and second period output ...
Food Labels Now Show Trans Fats Food Labels Now Show Trans Fats
Video: Conduction of action potentials

For a complete list of videos, visit our video library