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Interest Rates
Answer all the questions below
       1.   Define the term interest rates
       2.   Who decides interest rates in the UK
       3.   Describe what is meant by Monetary Policy Tightening
       4.   Analyse the effect High Interest Rates would have on AD
       5.   Analyse the effect Low Interest Rates would have on AD
       6.   Consider the effect of changes in interest rates on the major policy
            objectives

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Interest Rate Questions

  • 1. Interest Rates Answer all the questions below 1. Define the term interest rates 2. Who decides interest rates in the UK 3. Describe what is meant by Monetary Policy Tightening 4. Analyse the effect High Interest Rates would have on AD 5. Analyse the effect Low Interest Rates would have on AD 6. Consider the effect of changes in interest rates on the major policy objectives