Saving by Households

question 109

Multiple Choice

Saving by households

• A) decreases when the real interest rate rises.
• B) increases when the real interest rate rises.
• C) increases when the real interest rate falls.
• D) is unaffected by the real interest rate.

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Definitions:

Resampling Method

A statistical technique that involves taking repeated samples from observed data, used for estimation or testing hypotheses.

Bootstrap

A statistical method that involves resampling with replacement from a dataset to assess variability in a statistic.

Permutation

A permutation is an arrangement of all or part of a set of objects, with regard to the order of the arrangement.

Income

Financial gain accumulated over a period, such as wages from employment, profits from investments, or returns from assets.