stock. b. Consolidated Construction purchases 1,000 acres of land for a regiona

Question

stock. b. Consolidated Construction purchases 1,000 acres of land for a regiona shopping center it pians to buiid in a few years. c. A K-Mart store adds 1,000 T-shirts to its inventory. d. Crew buys computers for its office staff. e. Your family buys a house. If saving dropped sharply in the economy, what wouid likely happen to investment? Why? 3. Suppose loca: governments throughout the United States increase their tax on business inventories. What would you expect to happen to U.S. investment? Why?

Explanation / Answer

C

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