Figure 16-1 -Refer to Figure 16-1. Which of the Following Is Correct

question 183

Multiple Choice

Figure 16-1

-Refer to Figure 16-1. Which of the following is correct?

• A) If the interest rate is 4 percent, there is excess money demand, and the interest rate will fall.
• B) If the interest rate is 3 percent, there is excess money supply, and the interest rate will rise.
• C) Starting with an interest rate of 4 percent, the demand for goods and services will increase until the money market reaches a new equilibrium.
• D) None of the above is correct.

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Definitions:

Personal Space

An area two to four feet from a person; it is the closest zone a stranger or business acquaintance is normally allowed to enter.

Consent

The agreement or permission granted by an individual for something to happen, often provided after being informed about what will happen.

Social Meaning

The significance or interpretation of a behavior, practice, symbol, or object within the social or cultural context it exists.

Verbally

Through spoken words; orally.