Assume That Foreign Investors Who Have Invested in U

question 39

Multiple Choice

Assume that foreign investors who have invested in U.S. securities decide to increase their holdings of U.S. securities. This should cause the supply of loanable funds in the United States to ____ and should place ____ pressure on U.S. interest rates. ​

• A)decrease; upward
• B)decrease; downward
• C)increase; downward
• D)increase; upward

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Definitions:

Emotional Response

An individual's psychological and physical reactions to experiences or stimuli that are significant to them.

Cognitive Evaluation

The process of assessing, analyzing, and forming judgments about one's thoughts or mental processes.

Emotional Experience

The complex feelings and perceptions resulting from both physiological reactions and cognitive interpretations related to a stimulus.

Arousing Stimuli

External cues or signals that trigger physiological or psychological arousal, often leading to increased attention or alertness.