Higher Interest Rates Can Be Caused By

question 89

Multiple Choice

Higher interest rates can be caused by:

• A)a lower money supply.
• B)an increase in the money supply.
• C)a decrease in consumer borrowing.
• D)lower government spending.
• E)increased saving and investing by consumers.

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Definitions:

Central Route Persuasion

Occurs when interested people focus on the arguments and respond with favorable thoughts.

Peripheral Route Persuasion

Occurs when people are influenced by incidental cues, such as a speaker’s attractiveness.

Cognitive Dissonance

A psychological phenomenon where an individual experiences discomfort due to holding contradictory beliefs, ideas, or values at the same time.

Attribution

The process of explaining one's own or others' behaviors and events by attributing causes to them.