According to the Interest Rate Effect, as the Price Level

question 88

Multiple Choice

According to the interest rate effect, as the price level rises,:

• A) people feel poorer and buy less.
• B) United States products become more expensive and foreigners buy less U.S. goods.
• C) interest rates fall, and people buy less.
• D) interest rates rise, and people buy less.

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Definitions:

Oedipus Complex

A Freudian theory that describes a child's feelings of desire for their opposite-sex parent and jealousy and rivalry toward their same-sex parent.

Superego

In psychoanalytic theory, the component of the personality composed of the internalized ideals and moral standards.

Ego

Within the framework of psychoanalytic theory, it refers to the component of personality that acts as a mediator among the desires of the id, the superego, and the constraints of reality.

Id

In psychoanalytic theory, the part of the personality that is the source of instinctual impulses and demands for immediate satisfaction of primitive needs.