Question

The graph shows the percentage changes in the investment rate and the gross domestic product (GDP) between 2008 and 2012.

A graph titled Percentage changes in investment rate and G D P has year on the x-axis, from 2008 to 2012, and percentage changed on the y-axis from negative 20 to positive 10 percent, in increments of 5. Both the lines representing investment rate and G D P follow the same trend.

The graph demonstrates that changes in investment

can show if the economy is growing or shrinking.
occur only when the economy is shrinking.
occur only when the economy is growing.
have no relation to changes to the GDP.

Answer 1

Option A

Step-by-step explanation:

can show if the economy is growing or shrinking.

Answer 2

The graph following these guidelines:

A graph titled Percentage changes in investment rate and G D P has year on the x-axis, from 2008 to 2012, and percentage changed on the y-axis from negative 20 to positive 10 percent, in increments of 5. Both the lines representing investment rate and G D P follow the same trend.

Demonstrates thatchanges in investment

can show if the economy is growing or shrinking.

Step-by-step explanation:

This graph is a very illustrative one that marks the increment of both the investment rate and the GDP. Establishing a correlation between them means that one is dependant from the other and that the movement in one can create a specific movement in the other. Generally, investment boosts GDP. Now we can use this to deduct growth or decrease in the economy.