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    Macroeconomics Study Set 12
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    Exam 3: Income and Interest Rates: the Keynesian Cross Model and the Is Curve
  5. Question
    The Rate-Of-Return Line ________ When the Interest Rate Rises
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The Rate-Of-Return Line ________ When the Interest Rate Rises

Question 42

Question 42

Multiple Choice

The rate-of-return line ________ when the interest rate rises.


A) shifts to the right
B) shifts to the left
C) pivots to become steeper
D) pivots to become flatter
E) is not affected

Correct Answer:

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