Changes in the Interest Rate Will Lead to Shifts in the Investment
Changes in the interest rate will lead to shifts in the investment demand curve.
Changes in the corporate profits tax rate will shift the investment demand curve.
Suppose real estate analysts expect that 100,000 homes will be needed in a particular community by 2014. If the current number of homes in the community is only 50,000, we can expect to see a significant increase in the demand for investment.