Everything else held constant,an increase in interest rates on student loans
A)increases the cost of a college education.
B)reduces the cost of a college education.
C)has no effect on educational costs.
D)increases costs for students with no loans.

Question

Quizplus · Accepted Answer

When interest rates on student loans increase, it becomes more expensive to borrow money to pay for college. This ultimately increases the overall cost of a college education for students who rely on loans to finance their education.

Everything Else Held Constant,an Increase in Interest Rates on Student