What is a general advantage of setting promotion budgets to whatever level companies believe they can afford? Does not acknowledge marketing as an investment toward sales. Could help companies remain solvent during prolonged recession. Could cause companies to react too slowly to a competitive threat. Could make long-range marketing planning difficult.

He interest rate effect is the change in real gdp caused by the federal reserve adjusting target interest rates. is the change in consumer and investment spending due to changes in interest rates resulting from changes in the aggregate price level. is the change in exports and imports, resulting from changes in the interest rate caused by changes in the aggregate price level. is the change in investment spending and government purchases caused by changes in money demand. is the change in interest rates, caused by changes to government purchases.