When Interest Rates Fall in the United States (With the Price

question 12

Multiple Choice

When interest rates fall in the United States (with the price level fixed) ,the value of the dollar ________,domestic goods become ________ expensive,and net exports ________.

• A)falls;less;fall
• B)falls;less;rise
• C)falls;more;fall
• D)rises;less;fall

---

Definitions:

Venture Capitalists

Investors who provide capital to startup companies and small businesses with perceived long-term growth potential in exchange for equity.

High-Potential

An individual or asset deemed to have significant capabilities or value for future growth or success.

Demand Note

A type of loan agreement where the loan can be called for repayment by the lender at any time.

Maximum Amount

The highest possible quantity or value that can be reached or allowed.