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25 July, 02:26

Investment varies inversely with the rate of?.

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  1. 25 July, 02:37
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    real time rate of interest

    Explanation:

    When the real rate of interest is above the expected rate of profit, the investment is not worth doing.

    When the real rate is below the expected rate of profit, then it is worth doing. Therefore, investment spending varies inversely with the real rate of interest.
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