Question: 13. Suppose there is a decrease in the interest rate? What is the impact on the market for final goods and services? (a) Aggregate supply
13. Suppose there is a decrease in the interest rate? What is the impact on the market for final goods and services? (a) Aggregate supply shifts to the left, leading to a decrease in real GDP and an increase in the price level in the short run. (D) Aggregate demand shifts to the right, leading to an increase in real GDP and an increase in the price level in the short run. (c) Aggregate supply shifts to the right, leading to an increase in real GDP and a decrease in the price level in the short run. (d) Aggregate demand shifts to the left, leading to a decrease in real GDP and a decrease in the price level in the short run
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