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Everything Else Equal, Which of the Following Actions Would Tend

Question 14

Multiple Choice

Everything else equal, which of the following actions would tend to increase interest rates in the financial markets?


A) Investors' time preferences for consumption increase.
B) Investors are exposed to fewer economic risks.
C) Production opportunities decrease throughout the economy.
D) The overall creditworthiness of borrowers improves significantly.
E) The default probabilities of corporations decline substantially.

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