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johnpaul92 johnpaul92
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If the substitution effect of the real interest rate on saving is smaller than the income effect of the real interest rate on saving, then a rise in the real interest rate leads to a ________ in consumption and a ________ in saving, for someone who's a lender.
A) rise; rise
B) fall; fall
C) rise; fall
D) fall; rise
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Macroeconomics

Macroeconomics


Edition: 8th
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supamansupaman
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johnpaul92 Author
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#2
8 years ago
Appreciate your help, thank you again
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