Explain the statement that business investment depends inversely on the rate of interest while personal saving depends directly on the rate of interest.
The investment process contributes to the development of a country's economy. It tends to lead to increased productivity, as well as the creation of employment opportunities, which ultimately aid in solving various economic issues, such as a lack of spending within an economy.
Answer and Explanation:
Business investment depends inversely on the rate of interest. This is why the statement is true.
This answer can be explained by the fact that...
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from Corporate Finance: Help & ReviewChapter 2 / Lesson 6