Consider the relationship between income and interest rate in the financial market. Suppose there is a decrease in nominal income. What would be the illustration of it via graph? what are the effects on the equilibrium interest rate?
Consider the relationship between income and interest rate in the financial market. Suppose there is a decrease in nominal income. What would be the illustration of it via graph? what are the effects on the equilibrium interest rate?
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Consider the relationship between income and interest rate in the financial market. Suppose there is a decrease in nominal income.
What would be the illustration of it via graph?
what are the effects on the equilibrium interest rate?
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