Question

When interests rates are low, spending deceases. True or false?

Answer 1

Answer:

False

Explanation:

When interests rates are low the more willing people are to borrow money to make big purchases, such as houses or cars. When consumers pay less in interest, it gives them more money to spend.

Answer 2

Answer:

False, when interests rates are low, spending increases because more people are willing to spend more money to make big purchases on items such as cars or homes.