When Interest Rates in a Given Economy Are Reduced,it Causes

Multiple Choice

When interest rates in a given economy are reduced,it causes firms to employ __________ capital goods.In terms of the production function (graphed with labor on the horizontal axis and Real GDP on the vertical axis) ,this then causes ____________________ .

A) more; the production function to shift upward
B) less; the production function to shift downward
C) more; a movement up along a given production function
D) more; a movement down along a given production function