Falling interest rates mean increased business investment and a resulting increase in quantity demand for real GDP in the aggregate economy.

Name: Falling interest rates mean increased business investment and a resulting increase in quantity demand for real GDP in the aggregate economy.
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Question

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When interest rates fall, borrowing costs decrease, encouraging businesses to invest more in capital projects, which can lead to an increase in the aggregate demand for real GDP.

Falling Interest Rates Mean Increased Business Investment and a Resulting