if-the-interest-rate-in-the-economy-rises-from-3-to-7-what-is-likely-to-happen-t

Question

If the interest rate in the economy rises from 3% to 7%, what is likely to happen to the quantity of money demanded?

Accepted Answer

The quantity of money demanded will decrease.

Answer

The quantity of money demanded will fluctuate randomly.

Answer

The quantity of money demanded will increase.

Answer

The quantity of money demanded will remain unchanged.