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Advanced Placement (AP)Advanced Placement (AP)
11 November, 14:45

Which of the following will happen when interest rates increase in an economy?

A. The spending multiplier will decrease.

B. The cost of borrowing will decrease.

C. The price of previously issued bonds will increase.

D. Investment spending will increase.

E. The opportunity cost of holding money will increase.

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Answers (1)
  1. 11 November, 16:08
    0
    The answer is C. i have to make this longer so imma keyboard smash skidfhurdujddbfbskwls
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Home » Advanced Placement (AP) » Which of the following will happen when interest rates increase in an economy? A. The spending multiplier will decrease. B. The cost of borrowing will decrease. C. The price of previously issued bonds will increase. D.
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