If the World Real Interest Rate Falls,then a Country That

question 131

Multiple Choice

If the world real interest rate falls,then a country that is a net foreign lender

• A)increases the amount of its lending.
• B)does not change the amount of its lending.
• C)decreases the amount of its lending.
• D)changes from being a net foreign lender to a net foreign borrower.
• E)none of the above.

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Definitions:

Reward

A stimulus or event that increases the likelihood of the behavior that led to it being repeated in the future.

Unconditioned Frustration Response

An innate emotional reaction to the blocking of a goal-directed behavior without prior conditioning.

Amsel

A reference to Abram Amsel, a psychologist known for his work on the frustration theory of learning.

Escape Behavior

An action taken to terminate an ongoing, unpleasant stimulus, effectively allowing an individual to avoid discomfort.