Question

As the amount of money supply decreases, interest rates _____, which, in turn, causes spending to _____.

A. decrease; decrease
B. decrease; increase
C. increase; increase
D. increase; decrease

Answer 1

@Loveiskey18 @seesawn @mary.rojas

Answer 2

i think its b

Answer 3

Okay, if the amount of money supply decreases, what will that do to interest rates?

Answer 4

decrease?

Answer 5

No. Try again.

Answer 6

it will increase

Answer 7

@Loveiskey18

Answer 8

YEs, so now if interest rates increase, would you be more likely to spend as much or not?

Answer 9

less

Answer 10

Now, you have the answer.