Case of investment is a fundamental idea of the keynesianischen economic theory. It describes the economic phenomenon that enterprises do not invest in times of a depression if the interest is very low.

Causally for this it is that the enterprises do not even charge to capacity the already existing production capacities. Nevertheless further to invest would be thus paradoxical.

Beside the case of liquidity and the cause for the Keynes equilibrium can be seen to inflexible wages here downward during underemployment.

Articles in category "Case of investment"

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