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Author Question: When output exceeds planned expenditures, there is insufficient production in the economy. ... (Read 139 times)

xroflmao

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on: Jun 30, 2018
When output exceeds planned expenditures, there is insufficient production in the economy.
 
  Indicate whether the statement is true or false

Question 2

Which of the following is a TRUE statement relative to retained earnings and investment?
 
  A) Lower interest rates stimulate borrowing for investment, but discourage the use of retained earnings for investment.
  B) Lower interest rates reduce the opportunity cost of retained earnings, stimulating the use of these funds in investment.
  C) Lower interest rates stimulate borrowing for investment, but have no effect on the use of retained earnings for investment spending.
  D) Lower interest rates have no effect on investment spending at all because investment spending is autonomous.


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bfulkerson77

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Reply #1 on: Jun 30, 2018
Answer to Question 1

FALSE

Answer to Question 2

B


xroflmao

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Reply 2 on: Jun 30, 2018
Excellent

vickybb89

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Reply 3 on: Yesterday
Great answer, keep it coming :)

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