All Else Being Equal, an Increase in the Rate of Interest

question 112

Multiple Choice

All else being equal, an increase in the rate of interest

• A)causes a downward movement to the right along the nongovernment share line.
• B)causes an upward movement to the left along the nongovernment share line.
• C)shifts the nongovernment share line to the right.
• D)shifts the nongovernment share line to the left.
• E)has no effect on the nongovernment share of GDP.