Business, 02.08.2019 22:20 Priskittles

On june 5, 2003, the european central bank acted to decrease the short-term interest rate by half a percentage point to 2 percent. the bank's president at the time, willem duisenberg, suggested that the bank could reduce rates further in the future. the likely impacts of such a rate cut were a. an increase in planned aggregate expenditure, an increase in aggregate income and output, and an increase in consumption. b. an increase in planned aggregate expenditure, an increase in consumption, and an ambiguous effect on aggregate income and output. c. a decrease in planned aggregate expenditure, an increase in consumption, and a decrease in aggregate income and output. d. an increase in planned aggregate expenditure, an increase in aggregate income and output, but an ambiguous effect on consumption.

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