When the Interest Rate Falls

question 131

Multiple Choice

When the interest rate falls,

• A) there is movement up along the money demand curve.
• B) there is movement down along the money demand curve.
• C) the opportunity cost of holding money increases.
• D) the money demand curve shifts leftward.
• E) the money demand curve shifts rightward.

---

Definitions:

First Quartile

The first quartile is a statistical measure that divides a data set into four equal parts, representing the value below which 25% of the data falls.

Hours

Units of time equivalent to 60 minutes, commonly used to measure durations and periods of the day.

Playing Video Games

The activity of engaging in games that involve interaction with a user interface to generate visual feedback on a display device.

Lower Quartile

A statistical measure indicating the value below which 25% of the observations in a dataset fall.