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There is an increase in vacancy rates in commercial

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Reference no: EM13314519

Variables other than the rate of interest affect gross investment. Changes in these other variables cause investment demand to shift downward or upward. What should happen to the economy’s investment demand when there is a change in the following variables?

a. There is an increase in consumer confidence.

b. Manufacturers’ utilization of existing capacity declines.

c. There is an increase in vacancy rates in commercial buildings.

Reference no: EM13314519

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