An Expanded Money Supply ________

question 24

Multiple Choice

An expanded money supply ________.

• A) reduces the cost of borrowing
• B) increases interest rates
• C) makes it difficult for financial institutions to lend money
• D) diminishes entrepreneurial initiatives in a country

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Definitions:

Economic Growth

An increase in the production of goods and services in an economy over a period, often measured as the percent rate of increase in real GDP.

OECD

An international organization (Organisation for Economic Co-operation and Development) that promotes policies to improve the economic and social well-being of people around the world.

Economic Growth

An increase in the economic output and prosperity of a country, often measured by the rise in its Gross Domestic Product (GDP).