Question

Suppose you own a small business and have been thinking about expanding production, including hiring more workers. Until recently, interest rates at your bank have been too high for you to obtain a loan. However, the central bank decides to expand the money supply, which lowers interest rates to a level where you can take out a loan and expand production. Select the ways in which your actions affect the macroeconomy.a. Real GDP increases. b. The inflation rate goes down. c. Unemployment goes down. d. Investment increases.e. Aggregate demand increases

Answer 1

I think its b .... I could be wrong