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If the rest of the world reduces saving, else the same, which one of the following is likely to happen in the US? a.Interest rate
If the rest of the world reduces saving, else the same, which one of the following is likely to happen in the US?
a.Interest rate rises, and capital account balance rises.
b.Interest rate rises, and domestic investment rises.
c.Interest rate rises, and capital account balance declines.
d.Interest rate drops, and capital account balance declines.
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