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When the Price Level Falls

Question 26

Multiple Choice

When the price level falls


A) households want to lend more,so the interest rate rises making the quantity of goods and services demanded rise.
B) households want to lend more,so the interest rate falls,making the quantity of goods and services demanded rise.
C) households want to lend more,so the interest rate rises,making the quantity of goods and services demanded fall.
D) None of the above are correct.

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