b. A firm that decides to invest in additional machinery will for financial capital c. An increase in the marginal produ

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B A Firm That Decides To Invest In Additional Machinery Will For Financial Capital C An Increase In The Marginal Produ 1 (29.7 KiB) Viewed 8 times

b. A firm that decides to invest in additional machinery will for financial capital c. An increase in the marginal product of capital will lead firms to its requirements their their demand for financial capital. the present value of capital's MRP and in desired capital stock and therefore d. An increase in the interest rate will therefore the quantity of financial capital demanded by firms. e. An increase in capital's MRP results in a demand curve, whereas an increase in the interest rate results in a the economy's investment demand curve. firms' desired capital stock. The result will be a in the economy's investment