Answered

Which situation most likely results when the government raises interest rates
to banks?
OA. More people invest in the stock market.
OB. The value of the currency inflates.
OC. Economic activity sws.
D. The employment rate increases.



Answer :

GinnyAnswer

Final answer:

Raising interest rates to banks leads to decreased economic activity.


Explanation:

When the government raises interest rates to banks, it typically results in a decrease in economic activity. Higher interest rates make borrowing more expensive, leading to less investment by businesses, which can result in potential job losses and slower economic growth.


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