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    Macroeconomics Study Set 1
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    Exam 9: A Two-Period Model: The Consumption–Savings Decision and Credit Markets
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    A Key Channel for Interest Rate Effects on Real Activity
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A Key Channel for Interest Rate Effects on Real Activity

Question 25

Question 25

Multiple Choice

A key channel for interest rate effects on real activity will be through


A) temporary income.
B) permanent income.
C) aggregate consumption.
D) aggregate investment.
E) consumption and savings.

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