Which of the following correctly describes the relationship between money supply and interest rates?
A) The supply of money is negatively related to the rate of interest.
B) As interest rates increase, the supply of money increases.
C) The supply of money is not affected by interest rates.
D) Interest rates affect money supply through the marginal propensity to consume.
Correct Answer:
Verified
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Q29: If the supply of money increased while
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