Select the items that describe what most likely happens when the Federal Reserve increases the money supply (and people are confident in the economy).

Interest rates rise.

Businesses borrow more money.

Consumption increases.

Interest rates fall.

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27 April, 02:09

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Casey Rivas · Answer 1

When the Federal Reserve increases the money supply, consumption increases and the interest rates fall!

Select the items that describe what most likely happens when the Federal Reserve increases the money supply (and people are confident in the economy).Interest rates rise.Businesses borrow more money.Consumption increases.Interest rates fall.