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What is the difference between the multiplier and the accelerator?
the multiplier principle implies that investment increases output whereas the acceleration principle implies that increases in output will themselves induce increases in investment.
If the economy is confident that there is increasing demand for increased levels of production what will be the impact on the investment?
investment increases.
How does compound interest affect the future value of an investment?
Increases
What kind of capital increases growth in the economy?
You are referring to investment capital.
What are home investment loans used for?
Home investment loans are used for people wishing to purchase property for investment. Home investment loans are mortgages on properties that will be used as rental property or held until their value increases.
What was not a belief of john Maynard Keynes?
income increases as a result of deceased investment by business. A+
If An investment by a company's owner increases a company's cash would it increase owners equity?
yes
What happens when a nation's currency depreciates?
Exports increase. Imports decrease. FDI increases. Foreign capital investment increases. Economic growth rises. Besides these positives there is the negative effect and thats inflation which increases.
What happens when a nation's currency depreciate?
Exports increase. Imports decrease. FDI increases. Foreign capital investment increases. Economic growth rises. Besides these positives there is the negative effect and thats inflation which increases.
How does inflation affect investment?
The inflation affects the investment indirectly when read with the return. Example if an investment provides a return of 6%, and the inflation during the same period is 5%, the investment in real terms increases only by 1% and not by 6%, as inflation eats away returns to the tune of 5%.
When political upheaval strikes in another part of the world what happends to the foreing investment in the US?
it increases over the years.
What happened if the investment increases?
If the investment increases, it typically leads to greater potential returns for the investor, as more capital can generate higher profits. Additionally, increased investment can enhance a company's ability to expand operations, innovate, or improve efficiency. However, it may also involve higher risks, as larger investments can lead to greater losses if the market does not perform as expected. Overall, an increase in investment can stimulate growth but requires careful management and analysis.
