If firms receive an economic forecast predicting future decreases in the growth of real GDP, they are likely to respond by
A) increasing their level of investment spending to increase future production capacity.
B) increasing their level of investment spending to increase current production capacity.
C) decreasing their level of investment spending to decrease current production capacity.
D) decreasing their level of investment spending to decrease future production capacity.
D
Economics
You might also like to view...
Refer to Figure 4.6, which shows David's and Celeste's individual supply curves for flower arrangements per week. Assuming David and Celeste are the only producers in the market, what is the market quantity supplied at a price of $20?
A) 0 B) 100 C) 150 D) 200
Economics
Higher productivity is the most direct route to higher living standards
a. True b. False
Economics