When There Is an Excess Supply of Money

question 63

Multiple Choice

When there is an excess supply of money,

• A)people will try to get rid of money causing interest rates to rise.Investment increases.
• B)people will try to get rid of money causing interest rates to fall.Investment decreases.
• C)people will try to get rid of money causing interest rates to fall.Investment increases.
• D)people will try to get rid of money causing interest rates to rise.Investment decreases.

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