In explaining why the level of investment spending fell to such a low level during the Great Depression,Keynes argued that

A) consumers were not saving enough of their income,so there was little credit available to businesses.
B) the interest rate was too high.
C) the interest rate was too low.
D) businesses held bleak expectations concerning future business activity and were unwilling to borrow even at low interest rates.

Investment Spending

Expenditures on new physical capital, such as buildings, machinery, and equipment, intended to increase future production.

Great Depression

A severe worldwide economic depression that took place during the 1930s, marked by high unemployment and financial instability.

Future Business Activity

Predictions or estimations about the levels of commercial, industrial, or professional operations and engagements in the upcoming period.