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sgy_89 sgy_89
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6 years ago
The interest rate effect occurs when
A) the Federal Reserve increases the money supply, which lowers interest rates and causes consumers to demand more goods and services.
B) a reduction in the price level lowers the demand for money, and the resulting lower interest rate causes businesses and others to purchase more goods and services.
C) an increase in the price level reduces the real value of the public's financial assets and causes them to buy fewer goods and services.
D) All of the above
Textbook 
Introduction to Economic Reasoning

Introduction to Economic Reasoning


Edition: 8th
Author:
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foliogefolioge
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6 years ago
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sgy_89 Author
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6 years ago
this is exactly what I needed
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Good timing, thanks!
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2 hours ago
This calls for a celebration Person Raising Both Hands in Celebration
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