A higher interest rate will:

a. shift the consumption function upward
b. shift the consumption function downward.
c. make the consumption function steeper.
d. make the consumption function flatter.
e. cause an upward movement along the consumption function.


b

Economics

You might also like to view...

The period for which the Consumer Price Index is defined to equal 100 is called the

A) base period. B) starting point. C) beginning period. D) zero period. E) reference base period.

Economics

The supply of loanable funds comes from all the following, but:

A. businesses. B. individuals. C. government. D. borrowers.

Economics

Suppose a U.S. resident buys a car from a car maker in Japan. This transaction will:

a. have a negative effect on Japan's balance of trade in merchandise. b. have a negative effect on the U.S. balance of trade in merchandise. c. have a positive effect on the U.S. balance of trade in merchandise. d. bring money into the United States. e. have no effect on Japan's balance of trade in merchandise.

Economics

If employers can fire an employee for any reason, other things being equal

What will be an ideal response?

Economics