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    Macroeconomics Study Set 5
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    Exam 14: Consumption and saving
  5. Question
    If the Interest Rate Increases
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If the Interest Rate Increases

Question 15

Question 15

Multiple Choice

If the interest rate increases,


A) consumption of non-durable goods will decrease substantially
B) saving will increase substantially
C) consumption of durable goods will increase substantially
D) both B and C
E) none of the above

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