Which of the Following Would Cause Investment Spending to Increase

question 9

Multiple Choice

Which of the following would cause investment spending to increase and aggregate demand to shift right?

• A)an increase in the money supply, but not an investment tax credit
• B)an investment tax credit, but not an increase in the money supply
• C)both an increase in the money supply and an investment tax credit
• D)None of the above are correct.

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Definitions:

Enzyme

A complex chemical substance produced by the body, found primarily in the digestive juices, that acts upon food substances to break them down for absorption.

Plaque

A sticky deposit on teeth in which bacteria proliferate, or a substance that accumulates in the arteries leading to atherosclerosis; can also refer to an ornamental plate or tablet.

Cholesterol Levels

Measurements of the total amount of cholesterol in the blood, including HDL (good) cholesterol and LDL (bad) cholesterol, important for assessing heart disease risk.

Arteries

Blood vessels that carry oxygenated blood away from the heart to the body's tissues.