Suppose a major U.S. appliance manufacturer is forecasting demand for its products during the next year. How
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a. A survey shows a sharp rise in consumer confidence that income growth will be increasing.
b. Real interest rates are expected to increase.
c. The value of the U.S. dollar is expected to increase versus foreign currencies.
d. Planned investment spending in the economy is expected to decrease.
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a This development would increase the forecast demand for appliances because the rise in consum...View the full answer
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