A Rise in the Interest Rate Tends to

question 99

Multiple Choice

A rise in the interest rate tends to

• A) reduce many kinds of spending
• B) stimulate investment in high-profit industries
• C) cause bond prices to increase
• D) encourage confidence in the Fed's control over the economy
• E) suggest a downturn in the economy is coming within 6 months

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Definitions:

Arthropods

A vast phylum that includes insects, arachnids, myriapods, and crustaceans, characterized by their exoskeleton, segmented bodies, and jointed appendages.

Median Plane

An anatomical reference plane that divides the body into equal left and right halves.

Frontal

Pertaining to the front part of something, especially the frontal bone or frontal lobe of the brain.

Transverse

Positioned or extending across something; crossing from side to side or perpendicular to the long axis.