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AP® Macroeconomics

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Moderate

Loanable Funds (Real Interest Rate and Investment)

APMACR-HXTE1Q

If the American people continue to save less

A

the real interest rates rise and investment rises.

B

the real interest rates fall and investment falls.

C

the real interest rates rise and investment falls.

D

the real interest rates fall and investment rises.

E

the real interest rates increase and investment will not change.