Question: I need help with question 5 Question 5 1 pts Which of the following statements best describes the relationship between interest rates and the business
Question 5 1 pts Which of the following statements best describes the relationship between interest rates and the business cycle? During a recession, the demand for goods and services is lower, businesses borrow more, and as a result the economy slows down and the interest rates decline. None of the answers is correct. O Interest rates tend rise during economic expansion and decline during recessions. Typically, the Fed tightens credit to stimulate the economy, which puts further downward pressure on interest rates During an expansion, there is downward pressure on interest rates as businesses begin to grow and borrow more money
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