Refer to the figure below to answer the following questions.

Figure 23.2.2
-Refer to Figure 23.2.2. In Figure 23.2.2, a decrease in the real interest rate will result in a movement from point E to
A)point F.
B)point G.
C)point H.
D)point I.
E)either point G or point F.

Question

Refer to the figure below to answer the following questions.
  
Figure 23.2.2
-Refer to Figure 23.2.2. In Figure 23.2.2, a decrease in the real interest rate will result in a movement from point E to
A)point F. 
B)point G. 
C)point H. 
D)point I. 
E)either point G or point F.

Quizplus · Accepted Answer

According to the figure, a decrease in the real interest rate will result in a movement from point E to point G, as it follows the downward sloping curve of investment demand.

Refer to the Figure Below to Answer the Following Questions