An Increase in Real Interest Rates in the United States

question 12

Multiple Choice

An increase in real interest rates in the United States changes the quantity of loanable funds demanded because

• A)U.S. residents will want to buy more foreign assets.
• B)Foreign residents will want to buy fewer foreign assets.
• C)U.S. firms will want to purchase fewer U.S. capital goods.
• D)All of the above are correct.

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Definitions:

Draw-A-Family

A technique developed by Hulse which often produced stiff images of families.

Thematic Apperception Test

A projective psychological test in which respondents reveal their underlying motives, concerns, and the way they see the social world through the stories they make up about ambiguous pictures of people.

Construction Technique

A method or strategy used in the creation or development of projects, models, or systems.

Children's Apperception Test

A projective psychological test used to assess personality, emotions, and attitudes of children through their interpretations of pictures.