Everything Else Remaining the Same, an Increase in the Interest

question 43

Multiple Choice

Everything else remaining the same, an increase in the interest rate increases saving and

• A)increases aggregate demand through the international substitution effect.
• B)decreases aggregate demand through the international substitution effect.
• C)increases aggregate demand through the intertemporal substitution effect.
• D)decreases aggregate demand through the intertemporal substitution effect.
• E)increases aggregate demand through the wealth effect.

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Definitions:

Personality Disorder

A type of mental disorder characterized by enduring maladaptive patterns of behavior, cognition, and inner experience, exhibited across many contexts and deviating markedly from those accepted by the individual's culture.

Binge

An episode of excessive or uncontrolled indulgence in food, drink, or other activities.

Eating Disorders

Mental disorders characterized by abnormal or disturbed eating habits, such as anorexia nervosa or bulimia nervosa.

High Perfectionist Standards

Refers to the setting of unrealistically demanding goals which one is unable to reach, often leading to disappointment and frustration.