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Which of the Following Statements Is Most Correct

Question 91

Multiple Choice

Which of the following statements is most correct?


A) When the real interest rate increases the reward for saving decreases.
B) When the real interest rate decreases current consumption becomes less expensive and the reward for saving decreases.
C) When the real interest rate decreases the cost of current consumption increases.
D) When the real interest rate increases the level of saving always decreases.

Correct Answer:

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