Multiple Choice
The main reason for the IS curve having a downward slope is
A) higher output raises saving,which leads to a lower market-clearing interest rate.
B) higher output raises saving,which leads to a higher market-clearing interest rate.
C) higher output decreases saving,which leads to a lower market-clearing interest rate.
D) higher output decreases saving,which leads to a higher market-clearing interest rate.
Correct Answer:

Verified
Correct Answer:
Verified
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