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    Macroeconomics Study Set 8
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    Exam 4: Consumption, saving, and Investment
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    An Increase in the Real Interest Rate Will Cause
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An Increase in the Real Interest Rate Will Cause

Question 32

Question 32

Multiple Choice

An increase in the real interest rate will cause


A) the expected profit of firms to rise.
B) the purchase price of capital to decrease.
C) the stock prices to rise.
D) Tobin's q to decline.

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