if the domino effect occurs as a result of changes in the money supply, what will most likely happen as an…

if the domino effect occurs as a result of changes in the money supply, what will most likely happen as an immediate result of banks having more money to lend?\no borrowing will decrease.\no interest rates will decrease.\no investing will decrease.\no inflation will decrease.

if the domino effect occurs as a result of changes in the money supply, what will most likely happen as an immediate result of banks having more money to lend?\no borrowing will decrease.\no interest rates will decrease.\no investing will decrease.\no inflation will decrease.

Answer

Brief Explanations:

When banks have more money to lend, they compete to attract borrowers. To do so, they lower interest - rates. Lower interest - rates make borrowing more attractive. This is a basic principle in the money market and economics.

Answer:

Interest rates will decrease.