Desired Saving Equals Desired Investment The theory says that the real interest rate r adjusts so desired saving S equals desired investment I (figure 1). As the real interest rate is the cost of capital to the firm, a lower real interest causes higher investment demand. And as the real interest rate is the return to saving, a higher real interest rate creates a greater incentive to save; and s...

Buyer coalition with a combination of items is a group of buyers joining together to purchase a combination of items with a larger discount. The primary aim of existing buyer coalition with a combination of items research is to generate a large total discount. However, the aim is hard to achieve because this research is based on the assumption that each buyer completely knows other buyers’ info...