an4nymaleyjamellis an4nymaleyjamellis

26-02-2016
Business

Answered

An increase in savings __________.A. provides more funds for investment

Breduces the money supply
Cincreases current consumption
Dincreases interest rates

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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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