(Solved): Attempt Keep the Highest / 2 6. Investment tax credit Suppose that Congress is considering an in ...

Attempt

Keep the Highest / 2 6. Investment tax credit Suppose that Congress is considering an investment tax credit, which subsidizes domestic investment. Which of the following accurately describes the effect of an investment tax credic? Check all that apply. Net capital outflow decreases National saving decreases Trade balance decreases Domestic investment increases Exchange rate increases Real interest rate decreases

less more As a result of the investment tax credit, domestic goods will become

expensive for foreigners to purchase.