Increases in interest rates lead to overall net gains.

Name: Increases in interest rates lead to overall net gains.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Increases in interest rates may lead to higher returns for savers, but it also leads to higher borrowing costs for businesses and consumers. This can decrease economic activity, resulting in potential job losses and decreased consumer spending. Therefore, the overall net gain is uncertain and can vary depending on the specific economic conditions.

Increases in Interest Rates Lead to Overall Net Gains