Refer to the Above Table

question 178

Multiple Choice

Refer to the above table.Suppose the transactions demand for money is $300 billion and the money supply is $700 billion.A decrease in the money supply to $600 billion would cause the interest rate to:

• A)rise to 7 percent.
• B)rise to 6 percent.
• C)fall to 4 percent.
• D)fall to 5 percent.

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Definitions:

Peripheral Route

A method of persuasion that relies on superficial cues or aspects, such as the attractiveness of the speaker, instead of the quality of the arguments.

Persuasion

The act or process of influencing someone's beliefs, attitudes, or behaviors through argument, pleading, or explanation.

Little Importance

A term referring to things that hold minimal significance or urgency.

Central Route

A method of persuasion that involves deeply processing the content of a message, thinking critically about its arguments and evidence.