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AP® Macroeconomics

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Moderate

Household Reaction to Rising Interest Rates

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When interest rates rise, we can expect households to

A

spend more, save less, and invest less.

B

spend less, save more, and invest more.

C

spend more, save less, and invest more.

D

spend less, save more, and invest less.

E

spend more, save more, and invest less.