An Increase in the Interest Rate Will

question 107

Multiple Choice

An increase in the interest rate will

• A)have no effect on investment,since investment is autonomous
• B)increase investment,since it will be more profitable to hold stocks and bonds
• C)increase investment,since people will be less willing to hold money
• D)decrease investment only if firms have to borrow money to make investments
• E)decrease investment regardless of whether firms have to borrow money to make an investment

---

Definitions:

Default Value

Predefined value assigned to a variable or option that is used if no user-defined value is provided.

Input Mask

A predefined format applied to a field in databases or forms that controls the entry of data, ensuring it meets certain standards.

State Field

A specific area in a form or application where users input or select the state or region relevant to their address or location.

Required

A condition or attribute indicating that a particular field, information, or action is mandatory.