When interest rates rise, individuals who make deposits will earn a ________ rate of interest, while individuals who need to borrow funds will have to pay a ________ rate.
A) higher; lower
B) lower; higher
C) higher; higher
D) lower; lower

Question

Quizplus · Accepted Answer

When interest rates rise, both depositors earn a higher rate on their savings and borrowers have to pay a higher rate for loans.

When Interest Rates Rise, Individuals Who Make Deposits Will Earn