If the Interest Rate Increases, Then There Will Be

question 51

Multiple Choice

If the interest rate increases, then there will be

• A)a rightward movement along the autonomous investment function
• B)a leftward movement along the autonomous investment function
• C)an upward shift of the autonomous investment function
• D)a downward shift of the autonomous investment function
• E)no movement along or shift of the autonomous investment function

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Definitions:

Effort

The amount of physical or mental energy expended to achieve a goal or perform a task.

Expectancy-value Theory

A psychological theory that explains motivation and behavior as a function of an individual's expectations for success and the value they place on achieving the goal.

Achievable

A term used to describe a goal or task that is possible to accomplish or attain with effort, skill, or resources.

Self-awareness

The recognition of one's own emotions, thoughts, and values, and understanding how they influence behavior.