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Which of the following is true, other things equal? a . A reduction in prices will increase profit margins and, thereby, stimulate additional investment. b
Which of the following is true, other things equal?
a A reduction in prices will increase profit margins and, thereby, stimulate additional investment.
b A reduction in prices will lead to a decline in net exports.
c A reduction in prices will increase the real wealth of those holding a fixed quantity of money.
d A reduction in prices will increase the scarcity of money, raise the real interest rate, and, thereby, encourage investment and consumption.
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