Shift in Marginal Efficiency of Investment Curve
Here we detail about the five factors that cause shift in marginal efficiency of investment curve. The five factors are: (1) Business Expectations and Animal Spirits, (2) Technology and Innovations, (3) User Cost of Capital, (4) Availability of Credit, and (5) Fiscal Policy. Factor 1# Business Expectations and Animal Spirits: The Keynes theory gives importance to profit expectations of businessmen [...]