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Answer on Macroeconomics Question for Andrew Rumsey

Question #10928
Which of the following would lead to an increase in the level of investment and an increase in the interest rate?
a) a decrease in the willingness to save/lend
b) a decrease in the willingness to borrow/invest
c) an increase in the willingness to save/lend
d) an increase in the willingness to borrow/invest
Expert's answer
Answer is&
d) an increase in the willingness to borrow/invest
Because when willingness to borrow increases interest rate increases too, and when& willingness to
& invest grows up then level of investment grows up.

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