Page 98 - Macroeconomics. book docx_Neat

Buying shares is considered real investment in macroeconomics. → False

Autonomous investment depends on income. → False

Higher interest rates reduce investment. → True

Investment is part of aggregate demand. → True

The accelerator principle links investment to changes in income. → True

MPC and MPS together always equal 1. → True

A higher MPC leads to a smaller multiplier. → False

Investment multiplier explains income expansion. → True

Investment has no effect on economic growth. → False.

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