Ans: D Interest Rates and Investment 12) Compared to consumption, investment is a much ___ component of GDP and much more ___ A) larger; stable B)

Ans: D Interest Rates and Investment 12) Compared to consumption, investment is a much ___ component of GDP and much more ___ A) larger; stable B) smaller; stable C) larger; volatile D) smaller; volatile Ans: D 28) Why does investment spending rise and fall with the overall level of GDP in the economy?