Question
You wake up tomorrow and discover that, seemingly overnight, everyone in the country has decided they need to buy an expensive new car right now
You wake up tomorrow and discover that, seemingly overnight, everyone in the country has decided they need to buy an expensive new car right now - and they're willing to draw down on their savings and/or finance the purchase to do so. What does this do to interest rates? Select all that apply.
A. | They increase because the demand curve shifts to the right. | |
B. | They increase because the demand curve shifts to the left. | |
C. | They increase because the supply curve shifts to the right. | |
D. | They increase because the supply curve shifts to the left. | |
E. | They decrease because the demand curve shifts to the right. | |
F. | They decrease because the demand curve shifts to the left. | |
G. | They decrease because the supply curve shifts to the right. | |
H. | They decrease because the supply curve shifts to the left. |
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