If Saving Supply Decreases, the Equilibrium Real Interest Rate_{--------------------} and the Equilibrium

question 151

Multiple Choice

If saving supply decreases, the equilibrium real interest rate_{--------------------} and the equilibrium quantity of investment _{--------------------}.

• A)rises; increases
• B)rises; decreases
• C)does not change; does not change
• D)falls; decreases
• E)falls; increases

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Definitions:

Fraternal Twins

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Vibrations that travel through the air or another medium, which can be heard when they reach a person or animal's ear.

Fetus

The name for a developing human organism from the start of the ninth week after conception until birth.

In Utero

Pertaining to or occurring within the uterus; often used to describe development or conditions before birth.