Other things the same, a decrease in the U.S. interest rate
a. induces firms to invest more.
b. shifts money demand to the left.
c. makes the U.S. dollar appreciate.
d. increases the opportunity cost of holding dollars.
a
Economics
You might also like to view...
What is knowledge an example of?
a) a public good b) a private good c) a common resource d) a club good
Economics
According to this Application, home equity is the single largest component of net wealth for most families in the United States. As home equity falls
A) autonomous consumption will decrease, shifting the consumption function downward. B) the MPC will decrease, increasing the slope of the consumption function. C) autonomous consumption will decrease, shifting the consumption function upward. D) the MPC will decrease, decreasing the slope of the consumption function.
Economics