<span>“Black Tuesday” </span>October 29, 1929 – 1941
Experimental group confound group.
A major cause of the Pequot War and King Philips War were b)disagreements between Indians and colonists about land use and ownership. Many of the settlers wanted to use the land to live there with their families and wanted to trap animals to eventually sell them for fur-trading purposes, while the Native Americans saw it as their historical land where generations had lived there for years and wanted to continue to live there.
When the Federal Reserve increases the Federal funds rate both the supply of bank loans and the supply of loanable funds decrease, thereby increasing the real interest rate.
Answer: Option A
<u>Explanation:</u>
The interest rates and the available quantity of loanable funds are affected by monetary policy and they affect several points of total demand. The higher interest rates and deducted quantity of loanable funds result from a compact monetary policy which in return reduce the two components of total demand.
There will be a downfall in business investment because it is less pleasing for firms to borrow money and even firms fulfilled with money notice that with higher interest rates it is comparatively more comfortable to put those funds in a financial investment than to shape investment in the capital of physical category.
Although higher interest rates will prevent consumer borrowing for high-value materials like cars and houses. Therefore, low-interest-rate results from loose or expansionary monetary policy.
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