CEVAP:

What are the reasons that might cause changes in the demand for capital? To answer this question, we should look for reasons other than interest rate changes, because changes in interest rate is not going to cause changes in the demand for capital. In fact, we stay on the same demand curve. Thus, talking about demand changers means that the demand curve should shift to the right or left. Since the demand for capital reflects the marginal revenue product of capital, anything that influences the marginal revenue product of capital will affect the demand for capital.