Author Question: If interest rates decrease to a very low level, people will most likely hold (Read 18 times)

piesebel · **on:** Apr 19, 2019

Question 1

As the interest rate rises, people hold ________ money in non-interest-bearing checking accounts instead of savings accounts because the opportunity cost of holding money has ________.

◦ more; fallen
◦ less; fallen
◦ less; risen
◦ more; risen

Question 2

If interest rates decrease to a very low level, people will most likely hold

◦ more money in savings accounts and less cash.
◦ less money in savings accounts and less cash.
◦ less money in savings accounts and more cash.
◦ more money in savings accounts and more cash.

owenfalvey · **Reply #1 on:** Apr 19, 2019

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