Question

Which of the following reduces the interest rate?
(1) an increase in government expenditures and an increase in the money supply
(2) an increase in government expenditures and a decrease in the money supply
(3) a decrease in government expenditures and an increase in the money supply
(4) a decrease in government expenditures and a decrease in the money supply
(5) None of the above.​

Answer 1

Answer:

your answer is (1). an increase in government expenditure and an increase in the money supply

Explanation:

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