Answering Exams

The interest rate ?

The interest rate ?

A. is determined in the goods market and influences the level of planned investment and thus the money market
B. is determined in the money market and influences the level of planned investment and thus the goods market (Correct)
C. is determined in the goods market and has no influences on the money market
D. is determined in the money market and has no influence on the goods market

 

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