an4nymaleyjamellis
an4nymaleyjamellis an4nymaleyjamellis
  • 26-02-2016
  • Business
contestada

An increase in savings __________.A. provides more funds for investment
b. reduces the money supply
c. increases current consumption
d. increases interest rates

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taskmasters
taskmasters taskmasters
  • 09-03-2016
An increase in savings (D) increases interest rates. An interest rate is the cost of borrowing money. It is also the compensation for the service and risk of lending money. Without that, the willingness of the people to lend  money will be low.
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