Economics · Oct / Nov 2022 · Paper 12 · Question 13

The central bank of a country decreases interest rates to help the economy out of a recession. How is this decrease in interest rates most likely to affect the levels of saving in and borrowing from the country's commercial banks?

1. Adecreases / decreases
2. Bdecreases / increases
3. Cincreases / increases
4. Dincreases / decreases

As printed in the paper