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How Will a Decrease in the Interest Rate Affect the Quantity

Question 52

Multiple Choice

How will a decrease in the interest rate affect the quantity of money people want to hold?  


A)  The quantity of money people want to hold will increase. 
B)  The quantity of money people want to hold will decrease. 
C)  The quantity of money people want to hold will NOT be affected. 
D)  The quantity of money people want to hold will be constant.

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