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  3. Study Set
    Financial Institutions Markets and Money
  4. Exam
    Exam 4: The Level of Interest Rates
  5. Question
    Interest Rates Should Decease If
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Interest Rates Should Decease If

Question 3

Question 3

Multiple Choice

Interest rates should decease if


A) The economy is in a boom.
B) Inflationary expectations have decreased.
C) The Federal Reserve has decreased M1 and the supply of loanable funds.
D) Business investment demand has decreased significantly.

Correct Answer:

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