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According to the interest rate effect, an increase in the price level leads to ________ in the interest rate, and therefore to ________ in the quantity of aggregate demand.
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According to the interest rate effect, an increase in the price level leads to ________ in the interest rate, and therefore to ________ in the quantity of aggregate demand.

User Florin Petriuc
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According to the interest rate effect, an increase in the price level leads to a decrease in the interest rate, and therefore to a decrease in the quantity of aggregate demand. 
User Pramod Solanky
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