Multiple Choice Questions on An increase in investment is most likely to be caused by ........ for SEBI Grade A ( Officer) Exam Preparation

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Multiple Choice Questions

An increase in investment is most likely to be caused by ........

Economics- Phase (I & II) Multiplier and Accelerator 
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    An increase in investment is most likely to be caused by:

    Lower interest rates

    Correct Answer

    Expectations of lower national income

    Incorrect Answer

    A decrease in the marginal propensity to consume

    Incorrect Answer

    An increase in withdrawals

    Incorrect Answer

    A decrease in withdrawals

    Incorrect Answer
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    Explanation:

    Lower interest rates make it cheaper to borrow and therefore are likely to increase investment.

    By: Jyoti Das
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