Business, 15.07.2019 00:00 jnkbragg3696

Assume there are no investment projects in the economy that yield an expected rate of return of 25 percent or more. but suppose there are $10 billion of investment projects yielding expected returns of at least 20 percent; another $10 billion yielding at least 15 percent; another $10 billion yielding at least 10 percent; and so forth. a. draw this relationship between the expected rate of return and the amount of investment expenditure. instructions: use the tool provided 'id' to plot the investment demand curve (plot 6 points total). b. what will be the equilibrium level of aggregate investment if the real interest rate is as follows: instructions: enter your answers as whole numbers. 15 percent: 10 percent: 5 percent:

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Assume there are no investment projects in the economy that yield an expected rate of return of 25 p...

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