Question

In which economic situation would interest rates decrease?

A)Most people are saving rather than buying houses.
B)Average families are choosing to invest in new businesses.
C)High consumption is driving a surge in the services sector.
D)Increased job stability is encouraging workers to make big purchases.

Answer 1

The appropriate response is D. Bring down financing costs make it less expensive to obtain. This has a tendency to empower spending and speculation. This prompts higher total request and financial development. This expansion in AD may likewise bring about inflationary weights.