7. Improvements in technology

a. cause the investment function to shift downward.

b. reduce profit expectations.

c. increase autonomous investment spending.

d. cause lower rates of economic growth.

e. are irrelevant for a nation's industrial progress.

Domestic Income Exports Net Exports

$ 0 $120 billion $80 billion

$ 500 billion $145 billion $75 billion

$1,000 billion $170 billion $70 billion

$1,500 billion $175 billion $45 billion

$2,000 billion $210 billion $50 billion 8. Refer to Figure above. At a domestic income level of $1,500 billion, imports equal