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Refer to the Above Diagram

question 120

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  Refer to the above diagram.Initially assume that the investment demand curve is I<sub>d1</sub>.Which of the following effects of a budget deficit might shift the investment demand curve from I<sub>d1</sub> to I<sub>d2</sub>, wholly offsetting any crowding-out effect? A) an improvement in profit expectations by businesses B) a decrease in saving C) a decline in the interest rate D) an increase in the marginal propensity to consume Refer to the above diagram.Initially assume that the investment demand curve is Id1.Which of the following effects of a budget deficit might shift the investment demand curve from Id1 to Id2, wholly offsetting any crowding-out effect?


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Majority of Partners

The term "majority of partners" refers to more than half of the individuals in a partnership who hold the power to make decisions binding the partnership.

Limited Partner

A partner who may not actively participate in the management of the firm, but has limited liability.

Vancouver Credit Union

A financial cooperative based in Vancouver that offers banking services, such as savings and loans, to its members.

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Investments made by owners or shareholders in a company, often in the form of cash or other assets, to provide funding for the company's operations or growth.

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