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Which determinant of inducement to invest is of greater importance for entrepreneurs?
  • a)
    Rate of interest
  • b)
    Level of savings
  • c)
    Government policies
  • d)
    Cost of production
Correct answer is option 'A'. Can you explain this answer?
Most Upvoted Answer
Which determinant of inducement to invest is of greater importance for...
The determinant of inducement to invest that is of greater importance for entrepreneurs is the marginal efficiency of capital (prospective rate of profit). Entrepreneurs are more likely to invest when they anticipate higher profits from their investments.
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Which determinant of inducement to invest is of greater importance for entrepreneurs?a)Rate of interestb)Level of savingsc)Government policiesd)Cost of productionCorrect answer is option 'A'. Can you explain this answer?
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