One of the four most fundamental factors that affect the cost of money as discussed in the text is the availability of production opportunities and their expected rates of return.If production opportunities are relatively good,then interest rates will tend to be relatively high,other things held constant.

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According to the text, if production opportunities are relatively good, then interest rates will tend to be relatively high. This is because investors would prefer to invest in productive ventures with high rates of return rather than lending their money at low-interest rates. As a result, the increased demand for investment opportunities would drive up the cost of borrowing money, leading to higher interest rates.

One of the Four Most Fundamental Factors That Affect the Cost