Other Things the Same, a Higher Interest Rate Induces People

question 35

Multiple Choice

Other things the same, a higher interest rate induces people to

• A)save more, so the supply of loanable funds slopes upward.
• B)save less, so the supply of loanable funds slopes downward.
• C)invest more, so the supply of loanable funds slopes upward.
• D)invest less, so the supply of loanable funds slopes downward.

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Definitions:

Sleep

A natural, periodic state of rest for the mind and body, characterized by altered consciousness and reduced responsiveness to external stimuli.

Hours

Units of time equivalent to 60 minutes, used to measure the duration of events or the intervals between them.

Brain Activity

Brain activity involves the various neurological processes and actions carried out by the brain, including cognitive functions, emotions, and controlling bodily functions.

Heart Rate

The frequency of cardiac contractions, often quantified as the number of beats occurring every minute.