Question: According to Keynes, when the price level rises, it causes the interest rate to do what? It causes the level of business spending to do
According to Keynes, when the price level rises, it causes the interest rate to do what? It causes the level of business spending to do what? It causes a decrease in the interest rate, as people adjust to higher prices and purchase less; business spending decreases as well. It causes an increase in the interest rate, due to greater consumer demand for money to spend; business spending goes up as well. It causes an increase in the interest rate, due to a greater consumer demand for money to spend; business spending decreases. It causes a decrease in the interest rate, as people adjust to higher prices and purchase less; business spending goes up
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