If other things remain the same the more production opportun

If other things remain the same, the more production opportunities an economy has, the lower the interest would be. True or False?

Solution

This is true. As the production opportunities in the economy increases, the interest rate gets lowered. Thus, increase in production leads to lowering of interest rate.

If other things remain the same, the more production opportunities an economy has, the lower the interest would be. True or False?SolutionThis is true. As the p

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