The Demand Curve for Capital (With Interest Rate on Vertical

question 57

Multiple Choice

The demand curve for capital (with interest rate on vertical axis) :

• A) shows the quantities of capital that will bought at various prices of capital goods.
• B) indicates the quantity of capital firms intend to hold at each price of capital goods.
• C) is downward sloping.
• D) is represented by A and C.

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